Frerichs; Hugoson; Jennings; Olson, E.; Osthoff; Rice and Simoneau were excused.

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

The following communications were received:

February 14, 1995

The Honorable Irv Anderson

Speaker of the House of Representatives

The State of Minnesota

Dear Speaker Anderson:

It is my honor to inform you that I have received, approved, signed and deposited in the Office of the Secretary of State the following House File:

H. F. No. 45, relating to taxation; making technical corrections and clarifications; making administrative changes.

Warmest regards,

Arne H. Carlson

Governor

The Honorable Irv Anderson

Speaker of the House of Representatives

The Honorable Allan H. Spear

President of the Senate

I have the honor to inform you that the following enrolled Act of the 1995 Session of the State Legislature has been received from the Office of the Governor and is deposited in the Office of the Secretary of State for preservation, pursuant to the State Constitution, Article IV, Section 23:

                                    Time and          

S.F.         H.F.   Session Laws    Date ApprovedDate Filed

No.           No.    Chapter No.             1995      1995

45 1 11:32 a.m. February 14February 14

Sincerely,

Joan Anderson Growe

Secretary of State

Anderson, R., from the Committee on Health and Human Services to which was referred:

H. F. No. 5, A bill for an act relating to welfare reform; requiring pregnant and parenting minors to live with their parents in order to receive AFDC; providing an exception to the AFDC overpayment statute for recipients who have become employed; broadening the scope of the employment and training statute by requiring more AFDC recipients to participate in job searches; allowing vendor emergency assistance payments for damage deposit; providing required

workers' compensation insurance for the community work experience program; expanding cost-neutral fraud prevention programs; allowing emergency assistance damage deposit be returned to the county; allowing the county to pay monthly general assistance differently; making general assistance and work readiness lump-sum criteria the same as the AFDC lump-sum criteria, with some exceptions; requiring the departments of human services and revenue to design and implement a plan which supports working families; directing the commissioner of human services to seek several waivers from the federal government which support and promote self-sufficiency; expanding the parent's fair share pilot project in Ramsey county and requiring a study to expand the pilot project statewide; expanding state support for basic sliding fee day care program; appropriating money; amending Minnesota Statutes 1994, sections 256.031, subdivision 3; 256.73, subdivision 8, and by adding subdivisions; 256.736, subdivisions 5, 10, and by adding a subdivision; 256.737, by adding a subdivision; 256.81; 256.979, by adding a subdivision; 256.983, subdivision 1; 256D.03, subdivision 4; 256D.05, subdivision 6; and 256D.09, by adding subdivisions; proposing coding for new law in Minnesota Statutes, chapters 256; and 256D; repealing Minnesota Statutes 1994, section 256.734.

Reported the same back with the following amendments:

Delete everything after the enacting clause and insert:

Section 1. [LEGISLATIVE TASK FORCE TO GUIDE WELFARE REFORM.]

Subdivision 1. [MEMBERSHIP.] The speaker of the house and the senate majority leader shall appoint at least five members from each body to constitute a legislative task force to guide welfare reform. At least two of the members appointed from each body shall be from the minority party. The task force shall be jointly chaired by a member of the senate and a member of the house of representatives. Members shall be appointed before June 1, 1995, and shall convene as soon as possible during the 1995 interim at the call of the chairs.

Subd. 2. [DUTIES.] Members shall examine options for welfare reform in the program of Aid to Families with Dependent Children, with a view to designing an integrated, comprehensive statewide program for presentation to the legislature during the 1996 session. Members shall design a program which encourages family self-sufficiency and promotes work and which is coordinated and integrated with the Minnesota STRIDE program, the MFIP program, the targeted jobs program developed under section 268.905, and any changes enacted by the Congress during the 1995 session.

Members shall consider a variety of reform possibilities, including, but not limited to:

(a) expansion of the STRIDE program, including an expansion that would include volunteer participants in STRIDE;

(b) the use of bonuses and sanctions to encourage minor caretakers to complete their high school training;

(c) expansion of MFIP statewide;

(d) expansion of work first statewide;

(e) the use of diversionary grants as an alternative to AFDC to assist families in temporary emergency situations;

(f) innovations which are culturally appropriate and make use of providers who speak the language of clients affected by the programs.

The departments of human services and economic security shall assist the task force by providing information as requested. The task force shall seek input from a wide variety of groups, including state agencies, the governor's office, county agencies, advocacy groups including representatives of non-English-speaking constituencies, welfare recipients, and local and national experts. The task force shall be assisted as necessary by legislative staff.

Subd. 3. [REPORT.] The task force shall present a report containing its proposal for comprehensive welfare reform, with draft legislation, to the legislature by February 1, 1996. The report shall specify the federal waivers needed and set timelines for implementation.

Section 1. Minnesota Statutes 1994, section 256.01, is amended by adding a subdivision to read:

Subd. 4a. [TECHNICAL ASSISTANCE FOR IMMUNIZATION REMINDERS.] The state agency shall provide appropriate technical assistance to county agencies to develop methods to have county financial workers remind and encourage recipients of aid to families with dependent children, the Minnesota family investment plan, medical assistance, family general assistance, or food stamps whose assistance unit includes at least one child under the age of five to have each young child immunized against childhood diseases. The state agency must examine the feasibility of utilizing the capacity of a statewide computer system to assist county agency financial workers in performing this function at appropriate intervals.

Sec. 2. Minnesota Statutes 1994, section 256.01, subdivision 11, is amended to read:

Subd. 11. [CENTRALIZED DISBURSEMENT SYSTEM.] The state agency may establish a system for the centralized disbursement of food coupons, assistance payments, and related documents. Benefits shall be issued by the state or county and funded under this section according to section 256.025, subdivision 3, and subject to section 256.017.

The commissioner shall establish a statewide outreach program to better inform potential recipients of the existence and availability of food stamps under the food stamp program. The commissioner shall appoint a task force to assist in planning the outreach program. The commissioner shall also consult with the United States Department of Agriculture in the planning process and shall seek that agency's assistance in the development of any rule revisions that may be necessary to carry out the outreach program.

Sec. 3. Minnesota Statutes 1994, section 256.01, is amended by adding a subdivision to read:

Subd. 13. [PILOT PROJECT; PROTOCOLS FOR PERSONS LACKING PROFICIENCY IN ENGLISH.] The commissioner of human services shall establish pilot projects in Hennepin and Ramsey counties to provide language assistance to clients applying for or receiving aid through the county social service agency. The projects shall be designed to provide all relevant information in translation to individuals lacking proficiency in English, who are applying for or receiving assistance under any program supervised by the commissioner of human services. The projects shall also provide language assistance to individuals applying for or receiving aid under programs which the department of human services operates jointly with other executive branch agencies, including all work and training programs operated under chapters 256 and 256D. The purpose of the pilot projects is to ensure that all necessary information regarding a program is presented in translation, both orally and in writing, to applicants for and recipients of assistance who lack proficiency in English. In preparing the protocols to be used in the pilot programs, the commissioner shall seek input from the following groups: advocacy organizations that represent non-English speaking clients, county social service agencies, legal advocacy groups, employment and training providers, and other affected groups. The commissioner shall develop the protocols by October 1, 1995, and shall implement them as soon as feasible in the pilot counties. The commissioner shall report to the legislature by February 1, 1996, on the protocols developed, on the status of their implementation in the pilot counties, and shall include recommendations for statewide implementation.

Sec. 4. Minnesota Statutes 1994, section 256.031, subdivision 3, is amended to read:

Subd. 3. [AUTHORIZATION FOR THE DEMONSTRATION.] (a) The commissioner of human services, in consultation with the commissioners of education, finance, economic security, health, and planning, and the director of the higher education coordinating board, is authorized to proceed with the planning and designing of the Minnesota family investment plan and to implement the plan to test policies, methods, and cost impact on an experimental basis by using field trials. The commissioner, under the authority in section 256.01, subdivision 2, shall implement the plan according to sections 256.031 to 256.0361 and Public Law Numbers 101-202 and 101-239, section 8015, as amended. If major and unpredicted costs to the program occur, the commissioner may take corrective action

consistent with Public Law Numbers 101-202 and 101-239, which may include termination of the program. Before taking such corrective action, the commissioner shall consult with the chairs of the senate family services committee, the house health and human services committee, the health care and family services division of the senate family services and health care committees and the human services division of the house health and human services committee, or, if the legislature is not in session, consult with the legislative advisory commission.

(b) The field trials shall be conducted as permitted under federal law, for as many years as necessary, and in different geographical settings, to provide reliable instruction about the desirability of expanding the program statewide.

(c) The commissioner shall select the counties which shall serve as field trial or comparison sites based on criteria which ensure reliable evaluation of the program.

(d) The commissioner is authorized to determine the number of families and characteristics of subgroups to be included in the evaluation.

(i) A family that applies for or is currently receiving financial assistance from aid to families with dependent children; family general assistance or work readiness; or food stamps may be tested for eligibility for aid to families with dependent children or family general assistance and may be assigned by the commissioner to a test or a comparison group for the purposes of evaluating the family investment plan. A family found not eligible for aid to families with dependent children or family general assistance will be tested for eligibility for the food stamp program. If found eligible for the food stamp program, the commissioner may randomly assign the family to a test group, comparison group, or neither group. Families assigned to a test group receive benefits and services through the family investment plan. Families assigned to a comparison group receive benefits and services through existing programs. A family may not select the group to which it is assigned. Once assigned to a group, an eligible family must remain in that group for the duration of the project.

(ii) To evaluate the effectiveness of the family investment plan, the commissioner may designate a subgroup of families from the test group who shall be exempt from section 256.035, subdivision 1, and shall not receive case management services under section 256.035, subdivision 6a. Families are eligible for services under section 256.736 to the same extent as families receiving AFDC.

(e) After field trials have begun, the commissioner may extend field trials of the Minnesota family investment plan to Ramsey, Nobles, and Aitkin counties with county board consent. This extension of the field trials may be executed only if permitted under federal law, and is subject to federal approval. Ramsey county shall coordinate efforts with the community when developing the service delivery plan under section 256.0361, subdivision 1.

Sec. 5. Minnesota Statutes 1994, section 256.73, is amended by adding a subdivision to read:

Subd. 3b. [ELIGIBILITY CRITERIA NOT BARRED.] An individual receiving assistance may work over 99 hours per month and remain eligible for assistance, provided all other requirements of the aid to families with dependent children are met. The applicant is not required to demonstrate past employment history or 30 days of prior unemployment to be eligible for AFDC-unemployed parent.

Sec. 6. Minnesota Statutes 1994, section 256.73, is amended by adding a subdivision to read:

Subd. 5a. [PARENTING OR PREGNANT MINORS; RESTRICTION ON ASSISTANCE WITH FEDERAL EXCEPTIONS.] (a) The definitions in this paragraph apply to this subdivision.

(1) "Minor parent" means an individual who:

(i) is under the age of 18;

(ii) has never been married or otherwise legally emancipated; and

(iii) is either the natural parent of a dependent child living in the same household or eligible for assistance paid to a pregnant woman under subdivision 5.

(2) "Household of a parent, legal guardian, or other adult relative" means the place of residence of:

(i) a natural or adoptive parent;

(ii) a legal guardian pursuant to appointment or acceptance under section 260.242, 525.615, or 525.6165, and related laws; or

(iii) another individual who is age 18 or over and related to the minor parent as specified in Code of Federal Regulations, title 45, section 233.90(c)(1)(v), provided that the residence is maintained as a home for the minor parent and child under Code of Federal Regulations, title 45, section 233.90(c)(1)(v)(B).

(3) "Adult-supervised supportive living arrangement" means a private family setting which assumes responsibility for the care and control of the minor parent and dependent child, or other living arrangement, not including a public institution, which ensures that the minor parent receives supportive services, such as counseling, guidance, independent living skills training, or supervision.

(b) A minor parent and the dependent child who is in the care of the minor parent must reside in the household of a parent, legal guardian, or other adult relative, or in an adult-supervised supportive living arrangement in order to receive AFDC unless:

(1) the minor parent has no living parent or legal guardian whose whereabouts is known;

(2) no living parent or legal guardian of the minor parent allows the minor parent to live in the parent's or legal guardian's home;

(3) the minor parent has lived apart from the minor parent's own parent or legal guardian for a period of at least one year before either the birth of the dependent child or the parent's having made application for AFDC;

(4) the physical or emotional health or safety of the minor parent or dependent child would be jeopardized if they resided in the same residence with the minor parent's parent or legal guardian; or

(5) there is good cause for the minor parent and dependent child to receive assistance while living apart from the minor parent's parent, legal guardian, or other adult relative, or an adult supervised supportive living arrangement because the minor parent and dependent child would be in an adult-supervised supportive living arrangement except that none is available within the county, or the minor parent and dependent child have, on the effective date of this section, been living independently as part of an approved social services plan for less than the one-year period required under clause (3).

(c) Minor applicants must be informed orally and in writing about the eligibility requirements and their rights and obligations under the program. The county must advise the minor of the possible exemptions and specifically ask whether one or more of these exemptions is applicable. If the minor alleges one or more of these exemptions, then the county must assist the minor in obtaining the necessary verifications to determine whether or not these exemptions apply.

(d) If the county worker has reason to suspect that the physical or emotional health or safety of the minor parent or dependent child would be jeopardized if they resided with the minor parent's parent or legal guardian, then the county worker must make a referral to child protective services to determine if paragraph (b), clause (4), applies.

(e) If a minor parent is not living with a parent or legal guardian due to paragraph (b), clause (2) or (4), the minor parent must reside, when possible, in a living arrangement that meets the standards of paragraph (a), clause (3).

(f) When a minor parent and his or her dependent child live with the minor parent's parent, legal guardian, or other adult relative, or in an adult supervised supportive living arrangement, then AFDC must be paid, when possible, in the form of a protective payment on behalf of the minor parent and dependent child in accordance with Code of Federal Regulations, title 45, section 234.60.

Sec. 7. Minnesota Statutes 1994, section 256.73, subdivision 8, is amended to read:

Subd. 8. [RECOVERY OF OVERPAYMENTS.] (a) Except as provided in subdivision 8a, if an amount of aid to families with dependent children assistance is paid to a recipient in excess of the payment due, it shall be recoverable by the county agency. The agency shall give written notice to the recipient of its intention to recover the overpayment.

(b) When an overpayment occurs, the county agency shall recover the overpayment from a current recipient by reducing the amount of aid payable to the assistance unit of which the recipient is a member for one or more monthly assistance payments until the overpayment is repaid. All county agencies in the state shall reduce the assistance payment by three percent of the assistance unit's standard of need or the amount of the monthly payment, whichever is less, for all overpayments whether or not the overpayment is due solely to agency error. If the overpayment is due solely to having wrongfully obtained assistance, whether based on a court order, the finding of an administrative fraud disqualification hearing or a waiver of such a hearing, or a confession of judgment containing an admission of an intentional program violation, the amount of this reduction shall be ten percent. In cases when there is both an overpayment and underpayment, the county agency shall offset one against the other in correcting the payment.

(c) Overpayments may also be voluntarily repaid, in part or in full, by the individual, in addition to the above aid reductions, until the total amount of the overpayment is repaid.

(d) The county agency shall make reasonable efforts to recover overpayments to persons no longer on assistance in accordance with standards adopted in rule by the commissioner of human services. The county agency need not attempt to recover overpayments of less than $35 paid to an individual no longer on assistance if the individual does not receive assistance again within three years, unless the individual has been convicted of fraud under section 256.98.

Sec. 8. Minnesota Statutes 1994, section 256.73, is amended by adding a subdivision to read:

Subd. 8a. [START WORK OFFSET.] An overpayment resulting from earned income received in the first month of employment is not recoverable by the county agency provided the AFDC assistance unit has not previously received a start work offset in the past two years. A "start work offset" for purposes of this subdivision is the amount of the overpayment the assistance unit would otherwise be required to repay to the county under subdivision 8. This exception to subdivision 8 is available every two years to an AFDC assistance unit. This subdivision is effective upon federal approval and implementation of the waiver under section 39, subdivision 8.

Sec. 9. [256.7345] [WAIVER OF CERTAIN VENDOR PAYMENT RESTRICTIONS.]

The commissioner of human services shall seek all necessary waivers from the federal Secretary of Health and Human Services to enable the commissioner to use vendor, protective, or two-party payments in the program of AFDC in accordance with this section. If a recipient unit would be eligible for additional benefits under the program of AFDC, because of a child or children born while the family is receiving assistance, then the entire grant to which the family is entitled, including any increases, shall be paid to the family in the form of vendor, protective, or two-party payments. The commissioner shall seek a waiver of the requirements of United States Code, title 42, sections 605 and 606(b)(2) and Code of Federal Regulations, title 45, section 234.60, to enable the commissioner to institute vendor, protective, or two-party payments for families described in this section, without the special hearing and review requirements that would ordinarily pertain. The commissioner shall submit the waiver request required by this section within 60 days of the effective date of this section and shall report to the chairs of the house and senate human services committees when the waiver request has been acted upon by the federal agency.

Sec. 10. Minnesota Statutes 1994, section 256.736, subdivision 3, is amended to read:

Subd. 3. [REGISTRATION.] (a) To the extent permissible under federal law, every caretaker or child is required to register for employment and training services, as a condition of receiving AFDC, unless the caretaker or child is:

(1) a child who is under age 16, a child age 16 or 17 who is attending elementary or secondary school or a secondary level vocational or technical school full time;

(2) ill, incapacitated, or age 60 or older;

(3) a person for whom participation in an employment and training service would require a round trip commuting time by available transportation of more than two hours;

(4) a person whose presence in the home is required because of illness or incapacity of another member of the household;

(5) a caretaker or other caretaker relative of a child under the age of three who personally provides full-time care for the child. In AFDC-UP cases, only one parent or other relative may qualify for this exemption;

(6) a caretaker or other caretaker relative personally providing care for a child under six years of age, except that when child care is arranged for or provided, the caretaker or caretaker relative may be required to register and participate in employment and training services up to a maximum of 20 hours per week. In AFDC-UP cases, only one parent or other relative may qualify for this exemption;

(7) a pregnant woman, if it has been medically verified that the child is expected to be born within the next six months; or

(8) employed at least 30 hours per week; or

(9) a person for whom lack of proficiency in English is a barrier to employment, provided the person is attending an intensive program which lasts no longer than six months and is designed to remedy the language deficiency. Individuals who, because of advanced age or lack of ability, are incapable of gaining proficiency in English, as determined by the county social worker, shall continue to be exempt under this subdivision and are not subject to the requirement that they be participating in a language program.

(b) To the extent permissible by federal law, applicants for benefits under the AFDC program are registered for employment and training services by signing the application form. Applicants must be informed that they are registering for employment and training services by signing the form. Persons receiving benefits on or after July 1, 1987, shall register for employment and training services to the extent permissible by federal law. The caretaker has a right to a fair hearing under section 256.045 with respect to the appropriateness of the registration.

Sec. 11. Minnesota Statutes 1994, section 256.736, subdivision 3a, is amended to read:

Subd. 3a. [PARTICIPATION.] (a) Except as provided under paragraphs (b) and (c), participation in employment and training services under this section is limited to the following recipients:

(1) caretakers who are required to participate in a job search under subdivision 14;

(2) custodial parents who are subject to the school attendance or case management participation requirements under subdivision 3b;

(3) caretakers whose participation in employment and training services began prior to May 1, 1990, if the caretaker's AFDC eligibility has not been interrupted for 30 days or more and the caretaker's employability development plan has not been completed;

(4) recipients who are members of a family in which the youngest child is within two years of being ineligible for AFDC due to age;

(5) custodial parents under the age of 24 who: (i) have not completed a high school education and who, at the time of application for AFDC, were not enrolled in high school or in a high school equivalency program; or (ii) have had little or no work experience in the preceding year;

(6) recipients who have received AFDC for 36 or more months out of the last 60 months;

(7) recipients who are participants in the self-employment investment demonstration project under section 268.95; and

(8) recipients who participate in the new chance research and demonstration project under contract with the department of human services.

(b) If the commissioner determines that participation of persons listed in paragraph (a) in employment and training services is insufficient either to meet federal performance targets or to fully utilize funds appropriated under this section, the commissioner may, after notifying the chairs of the senate family services committee, the house health and human services committee, the family services division of the senate family services and health care committees, and the human services division of the house health and human services committee, permit additional groups of recipients to participate until the next meeting of the legislative advisory commission, after which the additional groups may continue to enroll for participation unless the legislative advisory commission disapproves the continued enrollment. The commissioner shall allow participation of additional groups in the following order only as needed to meet performance targets or fully utilize funding for employment and training services under this section:

(1) recipients who have received 24 or more months of AFDC out of the previous 48 months; and

(2) recipients who have not completed a high school education or a high school equivalency program.

(c) To the extent of money appropriated specifically for this paragraph, the commissioner may permit AFDC caretakers who are not eligible for participation in employment and training services under the provisions of paragraph (a) or (b) to participate. Money must be allocated to county agencies based on the county's percentage of participants statewide in services under this section in the prior calendar year. Caretakers must be selected on a first-come, first-served basis from a waiting list of caretakers who volunteer to participate. The commissioner may, on a quarterly basis, reallocate unused allocations to county agencies that have sufficient volunteers. If funding under this paragraph is discontinued in future fiscal years, caretakers who began participating under this paragraph must be deemed eligible under paragraph (a), clause (3).

(d) Participants who are eligible to enroll in the STRIDE program under one of the categories of this subdivision are required to cooperate with the assessment and employability plan development, and to meet the terms of their employability plan. Failure to comply, without good cause, shall result in the imposition of sanctions as specified in subdivision 4, clause (6).

Sec. 12. Minnesota Statutes 1994, section 256.736, subdivision 4a, is amended to read:

Subd. 4a. [NOTICE, CONCILIATION, AND RIGHT OF APPEAL.] If the employment and training service provider determines that the caretaker has failed or refused, without good cause, to cooperate or accept employment, the employment and training service provider shall issue to the caretaker a written notice of its determination of noncooperation or refusal to accept employment. The notice must include a detailed explanation of the reason for the determination and must specify the consequences for failure or refusal to cooperate or accept employment, the actions which the employment and training service provider believes are necessary for the caretaker to comply with the employment and training program, and the right to request, within ten days of receipt of the date the notice was mailed or hand delivered, a conciliation conference. The employment and training service provider or the county agency must conduct a conciliation conference within five days of a timely request. If the dispute between the employment and training service provider and the caretaker is not resolved in the conciliation conference or a request for a conciliation conference is not made within the required time, then the employment and training service provider shall notify the county board of a caretaker's failure without good cause to cooperate or accept employment. Unless the county agency has evidence to the contrary, the county agency shall implement the sanction provisions of subdivision 4. Any determination, action, or inaction on the part of the county board relating to a caretaker's participation under section 256.736 is subject to the notice and hearing procedures in section 256.045, and Code of Federal Regulations, title 45, section 205.10.

Sec. 13. Minnesota Statutes 1994, section 256.736, subdivision 5, is amended to read:

Subd. 5. [EXTENSION OF EMPLOYMENT AND TRAINING OPPORTUNITIES.] The commissioner of human services shall cooperate with the commissioner of economic security to extend the availability of training and employment opportunities on a statewide basis and the commissioner of trade and economic development and interested county agencies to develop a plan to improve the work opportunities available to public assistance recipients in community work experience and other work programs for public assistance recipients. Activities shall be focused on:

(1) new jobs that improve the public infrastructure;

(2) designing projects that enhance the tax base;

(3) strategies for job skill enhancement; and

(4) improving communities.

Organized labor shall be consulted in the development and implementation of any work activities. The county welfare agency may convene an employment advisory group consisting of representatives from the local chamber of commerce, from major area employers, from secondary and post-secondary educational institutions in the community, from labor unions who shall be represented by their exclusive representatives, and from job services offices operated by the commissioner of economic security under chapter 268. The county welfare agency shall work with the local employment advisory group to maximize the job opportunities for welfare clients.

Sec. 14. Minnesota Statutes 1994, section 256.736, subdivision 10, is amended to read:

Subd. 10. [COUNTY DUTIES.] (a) To the extent of available state appropriations, county boards shall:

(1) refer all mandatory and eligible volunteer caretakers permitted to participate under subdivision 3a to an employment and training service provider for participation in employment and training services;

(2) identify to the employment and training service provider the target group of which the referred caretaker is a member;

(3) provide all caretakers with an orientation which meets the requirements in subdivisions 10a and 10b;

(4) work with the employment and training service provider to encourage voluntary participation by caretakers in the target groups;

(5) work with the employment and training service provider to collect data as required by the commissioner;

(6) to the extent permissible under federal law, require all caretakers coming into the AFDC program to attend orientation;

(7) encourage nontarget caretakers to develop a plan to obtain self-sufficiency;

(8) notify the commissioner of the caretakers required to participate in employment and training services;

(9) inform appropriate caretakers of opportunities available through the head start program and encourage caretakers to have their children screened for enrollment in the program where appropriate;

(10) provide transportation assistance using available funds to caretakers who participate in employment and training programs;

(11) ensure that orientation, job search, services to custodial parents under the age of 20, educational activities and work experience for AFDC-UP families, and case management services are made available to appropriate caretakers under this section, except that payment for case management services is governed by subdivision 13;

(12) explain in its local service unit plan under section 268.88 how it will ensure that target caretakers determined to be in need of social services are provided with such social services. The plan must specify how the case manager and the county social service workers will ensure delivery of needed services;

(13) to the extent allowed by federal laws and regulations, provide a job search program as defined in subdivision 14, a community work experience program as defined in section 256.737, grant diversion as defined in section 256.739, and on-the-job training as defined in section 256.738. A county may also provide another work and training program approved by the commissioner and the secretary of the United States Department of Health and Human Services. Planning and approval for employment and training services listed in this clause must be obtained through submission of the local service unit plan as specified under section 268.88. A county is not required to provide a community work experience program if the county agency is successful in placing at least 40 percent of the monthly average of all caretakers who are subject to the job search requirements of subdivision 14 in grant diversion or on-the-job training program;

(14) prior to participation, provide an assessment of each AFDC recipient who is required or volunteers to participate in an approved employment and training service. The assessment must include an evaluation of the participant's (i) educational, child care, and other supportive service needs; (ii) skills and prior work experience; and (iii) ability to secure and retain a job which, when wages are added to child support, will support the participant's family. The assessment must also include a review of the results of the early and periodic screening, diagnosis and treatment (EPSDT) screening and preschool screening under chapter 123, if available; the participant's family circumstances; and, in the case of a custodial parent under the age of 18, a review of the effect of a child's development and educational needs on the parent's ability to participate in the program;

(15) develop an employability development plan for each recipient for whom an assessment is required under clause (14) which: (i) reflects the assessment required by clause (14); (ii) takes into consideration the recipient's physical capacity, skills, experience, health and safety, family responsibilities, place of residence, proficiency, child care and other supportive service needs; (iii) is based on available resources and local employment opportunities; (iv) specifies the services to be provided by the employment and training service provider; (v) specifies the activities the recipient will participate in, including the worksite to which the caretaker will be assigned, if the caretaker is subject to the requirements of section 256.737, subdivision 2; (vi) specifies necessary supportive services such as child care; (vii) to the extent possible, reflects the preferences of the participant; and (viii) specifies the recipient's long-term employment goal which shall lead to self-sufficiency;

(16) provide written notification to and obtain the written or oral concurrence of the appropriate exclusive bargaining representatives with respect to job duties covered under collective bargaining agreements to and assure that no work assignment under this section or sections 256.737, 256.738, and 256.739 results in: (i) termination, layoff, or reduction of the work hours of an employee for the purpose of hiring an individual under this section or sections 256.737, 256.738, and 256.739; (ii) the hiring of an individual if any other person is on layoff from the same or a substantially equivalent job; (iii) any infringement of the promotional opportunities of any currently employed individual; (iv) the impairment of existing contracts for services or collective bargaining agreements; or (v) except for on-the-job training under section 256.738, a participant filling an established unfilled position vacancy. If there is a dispute between an exclusive bargaining representative and a county or public works employer over whether or not job duties are covered under a collective bargaining agreement, the exclusive bargaining representative, the county, or the public works employer may petition the bureau of mediation services, who shall determine if the job duties are covered by a collective bargaining agreement; and

(17) assess each caretaker in an AFDC-UP family who is under age 25, has not completed high school or a high school equivalency program, and who would otherwise be required to participate in a work experience placement under section 256.737 to determine if an appropriate secondary education option is available for the caretaker. If an appropriate secondary education option is determined to be available for the caretaker, the caretaker must, in lieu of participating in work experience, enroll in and meet the educational program's participation and attendance requirements. "Secondary education" for this paragraph means high school education or education designed to prepare a person to qualify for a high school equivalency certificate, basic and remedial education, and English as a second language education. A caretaker required to participate in secondary education who, without good cause, fails to participate shall be subject to the provisions of subdivision 4a and the sanction provisions of subdivision 4, clause (6). For purposes of this clause, "good cause" means the inability to obtain licensed or legal nonlicensed child care services needed to enable the caretaker to attend, inability to obtain transportation needed to attend, illness or incapacity of the caretaker or another member of the household which requires the caretaker to be present in the home, or being employed for more than 30 hours per week.; and

(18) the commissioner of human services in consultation with the commissioner of economic security, county agency staff, and STRIDE provider staff shall develop and implement statewide standards for satisfactory progress for STRIDE participants who are enrolled in education or training programs, including culturally and linguistically appropriate programs developed in the community. The resulting standards shall be implemented at the earliest possible date, but no later than July 1, 1996.

(b) Funds available under this subdivision may not be used to assist, promote, or deter union organizing.

(c) A county board may provide other employment and training services that it considers necessary to help caretakers obtain self-sufficiency.

(d) Notwithstanding section 256G.07, when a target caretaker relocates to another county to implement the provisions of the caretaker's case management contract or other written employability development plan approved by the county human service agency, its case manager or employment and training service provider, the county that approved the plan is responsible for the costs of case management and other services required to carry out the plan, including employment and training services. The county agency's responsibility for the costs ends when all plan obligations have been met, when the caretaker loses AFDC eligibility for at least 30 days, or when approval of the plan is withdrawn for a reason stated in the plan, whichever occurs first. Responsibility for the costs of child care must be determined under chapter 256H. A county human service agency may pay for the costs of case management, child care, and other services required in an approved employability development plan when the nontarget caretaker relocates to another county or when a target caretaker again becomes eligible for AFDC after having been ineligible for at least 30 days.

Sec. 15. Minnesota Statutes 1994, section 256.736, subdivision 10a, is amended to read:

Subd. 10a. [ORIENTATION.] (a) Each county agency must provide an orientation to all caretakers within its jurisdiction in the time limits described in this paragraph:

(1) within 60 days of being determined eligible for AFDC for caretakers with a continued absence or incapacitated parent basis of eligibility; or

(2) within 30 days of being determined eligible for AFDC for caretakers with an unemployed parent basis of eligibility.

(b) Caretakers are required to attend an in-person orientation if the caretaker is a member of one of the groups listed in subdivision 3a, paragraph (a), unless the caretaker is exempt from registration under subdivision 3 and the caretaker's exemption basis will not expire within 60 days of being determined eligible for AFDC, or the caretaker is enrolled at least half time in any recognized school, training program, or institution of higher learning and the in-person orientation cannot be scheduled at a time that does not interfere with the caretaker's school or training schedule. The county agency shall require attendance at orientation of caretakers described in subdivision 3a, paragraph (b) or (c), if the commissioner determines that the groups are eligible for participation in employment and training services.

(c) The orientation must consist of a presentation that informs caretakers of:

(1) the identity, location, and phone numbers of employment and training and support services available in the county;

(2) the types and locations of child care services available through the county agency that are accessible to enable a caretaker to participate in educational programs or employment and training services;

(3) the child care resource and referral program designated by the commissioner providing education and assistance to select child care services and a referral to the child care resource and referral when assistance is requested;

(4) the obligations of the county agency and service providers under contract to the county agency;

(5) the rights, responsibilities, and obligations of participants;

(6) the grounds for exemption from mandatory employment and training services or educational requirements;

(7) the consequences for failure to participate in mandatory services or requirements;

(8) the method of entering educational programs or employment and training services available through the county;

(9) the availability and the benefits of the early and periodic, screening, diagnosis and treatment (EPSDT) program and preschool screening under chapter 123;

(10) their eligibility for transition year child care assistance when they lose eligibility for AFDC due to their earnings;

(11) their eligibility for extended medical assistance when they lose eligibility for AFDC due to their earnings; and

(12) the availability and benefits of the Head Start program.

(d) All orientation programs should provide information to caretakers on parenting, nutrition, household management, food preparation, and other subjects relevant to promoting family integration and self-sufficiency and provide detailed information on community resources available for training sessions on these topics.

(e) Orientation must encourage recipients to view AFDC as a temporary program providing grants and services to individuals who set goals and develop strategies for supporting their families without AFDC assistance. The content of the orientation must not imply that a recipient's eligibility for AFDC is time limited. Orientation may be provided through audio-visual methods, but the caretaker must be given an opportunity for face-to-face interaction with staff of the county agency or the entity providing the orientation, and an opportunity to express the desire to participate in educational programs and employment and training services offered through the county agency.

(e) (f) County agencies shall not require caretakers to attend orientation for more than three hours during any period of 12 continuous months. The county agency shall also arrange for or provide needed transportation and child care to enable caretakers to attend.

The county or, under contract, the county's employment and training service provider shall mail written orientation materials containing the information specified in paragraph (c), clauses (1) to (3) and (8) to (12), to each caretaker exempt from attending an in-person orientation or who has good cause for failure to attend after at least two dates for their orientation have been scheduled. The county or the county's employment and training service provider shall follow up with a phone call or in writing within two weeks after mailing the material.

(f) (g) Persons required to attend orientation must be informed of the penalties for failure to attend orientation, support services to enable the person to attend, what constitutes good cause for failure to attend, and rights to appeal. Persons required to attend orientation must be offered a choice of at least two dates for their first scheduled orientation. No person may be sanctioned for failure to attend orientation until after a second failure to attend.

(g) (h) Good cause for failure to attend an in-person orientation exists when a caretaker cannot attend because of:

(1) temporary illness or injury of the caretaker or of a member of the caretaker's family that prevents the caretaker from attending an orientation during the hours when the orientation is offered;

(2) a judicial proceeding that requires the caretaker's presence in court during the hours when orientation is scheduled; or

(3) a nonmedical emergency that prevents the caretaker from attending an orientation during the hours when orientation is offered. "Emergency" for the purposes of this paragraph means a sudden, unexpected occurrence or situation of a serious or urgent nature that requires immediate action.

(h) (i) Caretakers must receive a second orientation only when:

(1) there has been a 30-day break in AFDC eligibility; and

(2) the caretaker has not attended an orientation within the previous 12-month period, excluding the month of reapplication for AFDC.

Sec. 16. Minnesota Statutes 1994, section 256.736, subdivision 16, is amended to read:

Subd. 16. [ALLOCATION AND USE OF MONEY.] (a) State money appropriated for employment and training services under this section must be allocated to counties as specified in paragraphs (b) to (j) (l).

(b) For purposes of this subdivision, "targeted caretaker" means a recipient who:

(1) is a custodial parent under the age of 24 who: (i) has not completed a high school education and at the time of application for AFDC is not enrolled in high school or in a high school equivalency program; or (ii) had little or no work experience in the preceding year;

(2) is a member of a family in which the youngest child is within two years of being ineligible for AFDC due to age; or

(3) has received 36 months or more of AFDC over the last 60 months.

(c) One hundred percent of the money appropriated for case management services as described in subdivision 11 must be allocated to counties based on the average number of cases in each county described in clause (1). Money appropriated for employment and training services as described in subdivision 1a, paragraph (d), other than case management services, must be allocated to counties as follows:

(1) Forty percent of the state money must be allocated based on the average number of cases receiving AFDC in the county which either have been open for 36 or more consecutive months or have a caretaker who is under age 24 and who has no high school or general equivalency diploma. The average number of cases must be based on counts of these cases as of March 31, June 30, September 30, and December 31 of the previous year.

(2) Twenty percent of the state money must be allocated based on the average number of cases receiving AFDC in the county which are not counted under clause (1). The average number of cases must be based on counts of cases as of March 31, June 30, September 30, and December 31 of the previous year.

(3) Twenty-five percent of the state money must be allocated based on the average monthly number of assistance units in the county receiving AFDC-UP for the period ending December 31 of the previous year.

(4) Fifteen percent of the state money must be allocated at the discretion of the commissioner based on participation levels for target group members in each county.

(d) No more than 15 percent of the money allocated under paragraph (b) and no more than 15 percent of the money allocated under paragraph (c) may be used for administrative activities.

(e) At least 55 percent of the money allocated to counties under paragraph (c) must be used for employment and training services for caretakers in the target groups, and up to 45 percent of the money may be used for employment and training services for nontarget caretakers. One hundred percent of the money allocated to counties for case management services must be used to provide those services to caretakers in the target groups.

(f) Money appropriated to cover the nonfederal share of costs for bilingual case management services to refugees for the employment and training programs under this section are allocated to counties based on each county's proportion of the total statewide number of AFDC refugee cases. However, counties with less than one percent of the statewide number of AFDC refugee cases do not receive an allocation.

(g) Counties, the department of economic security, and entities under contract with either the department of economic security or the department of human services for provision of Project STRIDE related services shall bill the commissioner of human services for any expenditures incurred by the county, the county's employment and training service provider, or the department of economic security that may be reimbursed by federal money. The commissioner of human services shall bill the United States Department of Health and Human Services and the United States Department of Agriculture for the reimbursement and appropriate the reimbursed money to the county, the department of economic security, or employment and training service provider that submitted the original bill. The reimbursed money must be used to expand employment and training services.

(h) The commissioner of human services shall review county expenditures of case management and employment and training block grant money at the end of the third quarter of the biennium and each quarter after that, and may reallocate unencumbered or unexpended money allocated under this section to those counties that can demonstrate a need for additional money. Reallocation of funds must be based on the formula set forth in paragraph (a), excluding the counties that have not demonstrated a need for additional funds.

(i) The county agency may continue to provide case management and supportive services to a participant for up to 90 days after the participant loses AFDC eligibility and may continue providing a specific employment and training service for the duration of that service to a participant if funds for the service are obligated or expended prior to the participant losing AFDC eligibility.

(j) One hundred percent of the money appropriated for an unemployed parent work experience program under section 256.737 must be allocated to counties based on the average monthly number of assistance units in the county receiving AFDC-UP for the period ending December 31 of the previous year.

(k) The commissioner, in consultation with the commissioner of economic security, county agency staff, and STRIDE provider staff shall develop and implement a statewide plan to make state payments to STRIDE providers dependent on the attainment of specific employment-related performance standards. Factors to be considered when developing performance standards include, but are not limited to: (1) job placement rate; (2) length of job retention; (3) wage rate at job placement; (4) AFDC closings due to increased earned income; (5) average cost per job placement; and (6) average length of time participants are on AFDC. The resulting performance standards shall be implemented at the earliest possible date, but no later than July 1, 1996. In developing this performance-based system, the commissioners shall ensure:

(1) that payments to STRIDE service providers may still be made through county agencies;

(2) that STRIDE service providers are paid in a timely fashion; and

(3) that financial sanctions for performance failures can be imposed retroactively, if necessary.

(l) The commissioner may waive the requirement of paragraph (e) that case management funds be spent only on case management services in order to permit the development of a unified project STRIDE funding allocation for each county agency. The unified allocation may be expended by the county agency for case management and employment and training activities in the proportion determined necessary to streamline administrative procedures and enhance program performance. The commissioner, in consultation with the commissioner of economic security, may also grant a waiver from program spending limits in paragraphs (d) and (e) to any county which can demonstrate increased program effectiveness through a written request to the department. Counties which request a waiver of the spending limits in paragraphs (d) and (e) shall amend their local service unit plans and receive approval from the commissioner of economic security prior to commencing the waiver. The commissioners of human services and economic security shall annually evaluate the effectiveness of all waivers approved under this subdivision. Such waivers shall not require federal waiver authority.

Sec. 17. Minnesota Statutes 1994, section 256.736, is amended by adding a subdivision to read:

Subd. 20. [SPECIAL PROVISIONS FOR PERSONS PARTICIPATING IN EDUCATIONAL PROGRAMS.] The provisions of this subdivision are applicable to all project STRIDE participants, including those subject to subdivision 3b and section 256.737.

(a) For recipients eligible to participate under subdivision 3b who are enrolled in a high school equivalency program on a full-time basis, there is no work requirement. Individuals who are enrolled part time in a high school equivalency program must take classroom instruction for at least six hours per week, meet the attendance and satisfactory progress requirements as defined by the employment and training service provider in consultation with the provider of the high school equivalency program, and concurrently work a monthly average of not less than 64 hours in employment paying at least minimum wage or in documented volunteer work. Hours spent assisting at a licensed day care center shall count toward the weekly hours needed to fulfill the employment or volunteer requirement. "Volunteer work" shall include attendance at parenting skill classes. Failure to comply, without good cause, with this requirement shall result in the imposition of sanctions as specified in subdivision 4, clause (6).

(b) Concurrent with participation in post-secondary education or training approved in an employability development plan under subdivision 10, paragraph (a), clause (15), the participant must work at a minimum the number of hours per month prescribed by this subdivision in employment paying at least minimum wage or in documented volunteer work for a public or nonprofit agency and agree to search for and accept any offer of suitable employment upon completion of the education or training. For individuals who are participating in an educational program under this paragraph on a full-time basis as determined by the institution, there is no work requirement. For individuals participating in an educational program on a part-time basis as determined by the institution, the minimum number of hours that a participant must work shall be increased in proportion to the number of credit hours being taken, up to a maximum of eight hours weekly of work.

During vacation periods of one month or more, the 16-hour per week minimum work requirement shall apply. Hours spent assisting at the dependent child's day care center shall count towards the weekly hours needed to fulfill the employment or volunteer requirement. "Volunteer work" shall include attendance at parenting skill classes. Failure to work the required number of hours per month, to search for employment, or to accept a suitable offer of employment after completing education or training will result in the imposition of sanctions as specified in subdivision 4, clause (6).

Sec. 18. Minnesota Statutes 1994, section 256.737, subdivision 1a, is amended to read:

Subd. 1a. [COMMISSIONER'S DUTIES.] The commissioner shall: (a) assist counties in the design and implementation of these programs; (b) promulgate, in accordance with chapter 14, emergency rules necessary for the implementation of this section, except that the time restrictions of section 14.35 shall not apply and the rules may be in effect until June 30, 1993, unless superseded by permanent rules; (c) seek any federal waivers necessary for proper implementation of this section in accordance with federal law; (d) ensure that participants at CWEP worksites are assigned to work, and require revision of the CWEP work plan in cases where work is not available at the site; and (d) (e) prohibit the use of participants in the programs to do work that was part or all of the duties or responsibilities of an authorized public employee bargaining unit position established as of January 1, 1993. The exclusive bargaining representative shall be notified no less than 14 days in advance of any placement by the community work experience program. Written or oral concurrence with respect to job duties of persons placed under the community work experience program shall be obtained from the appropriate exclusive bargaining representative within seven days. The appropriate oversight committee shall be given monthly lists of all job placements under a community work experience program.

Sec. 19. Minnesota Statutes 1994, section 256.737, subdivision 2, is amended to read:

Subd. 2. [PROGRAM REQUIREMENTS.] (a) Worksites developed under this section are limited to projects that serve a useful public service such as: health, social service, environmental protection, education, urban and rural development and redevelopment, welfare, recreation, public facilities, public safety, community service, services to aged or disabled citizens, and child care. To the extent possible, the prior training, skills, and experience of a recipient must be used in making appropriate work experience assignments.

(b) As a condition to placing a person receiving aid to families with dependent children in a program under this subdivision, the county agency shall first provide the recipient the opportunity:

(1) for placement in suitable subsidized or unsubsidized employment through participation in job search under section 256.736, subdivision 14; or

(2) for placement in suitable employment through participation in on-the-job training under section 256.738 or grant diversion under section 256.739, if such employment is available.

(c) A caretaker referred to job search under section 256.736, subdivision 14, and who has failed to secure suitable employment must participate in a community work experience program.

(d) The county agency shall limit the maximum number of hours any participant under this section may work in any month to:

(1) for counties operating an approved mandatory community work experience program as of January 1, 1993, who elect this method for countywide operations, a number equal to the amount of the aid to families with dependent children payable to the family divided by the greater of the federal minimum wage or the applicable state minimum wage; or

(2) for all other counties, a caretaker must participate in any week 20 hours with no less than 16 hours spent participating in a work experience placement and no more than four of the hours spent in alternate activities as described in the caretaker's employability development plan. Placement in a work experience worksite must be based on the assessment required under section 256.736 and the caretaker's employability development plan. Caretakers participating under this clause may be allowed excused absences from the assigned job site of up to eight hours per month. For the purposes of this clause, "excused absence" means absence due to temporary illness or injury of the caretaker or a member of the caretaker's family, the unavailability of licensed child care or transportation needed to participate in the work experience placement, a job interview, or a nonmedical emergency. For purposes of this clause, "emergency" has the meaning given it in section 256.736, subdivision 10a, paragraph (g).

(e) After a participant has been assigned to a position under paragraph (d), clause (1), for nine months, the participant may not continue in that assignment unless the maximum number of hours a participant works is no greater than the amount of the aid to families with dependent children payable with respect to the family divided by the higher of (1) the federal minimum wage or the applicable state minimum wage, whichever is greater, or (2) the rate of pay for individuals employed in the same or similar occupations by the same employer at the same site.

(f) After each six months of a recipient's participation in an assignment, and at the conclusion of each assignment under this section, the county agency shall reassess and revise, as appropriate, each participant's employability development plan.

(g) Structured, supervised volunteer work with an agency or organization which is monitored by the county service provider may, with the approval of the commissioner of economic security, be used as a work experience placement.

(h) If there is no work available at the site to which a CWEP participant is assigned, then the CWEP work plan shall be revised so that participants may work at alternative sites.

Sec. 20. Minnesota Statutes 1994, section 256.74, is amended by adding a subdivision to read:

Subd. 6. [STUDY OF STATE SUPPLEMENTARY PAYMENTS.] The commissioner of human services shall study and report back on a plan for providing supplemental payments for recipients of AFDC whose income is reduced or terminated as a result of a reduction in the rate of pay, reduction in numbers of hours worked, or reduction in court ordered or agreed upon support, but whose assistance under the AFDC program is not adjusted accordingly because of the operation of retrospective budgeting procedures. The amount of assistance must be sufficient to ensure that the assistance unit's income equals, but does not exceed, the standard of assistance in the AFDC program for an assistance unit of like size and composition. A recipient shall not be eligible for supplementary assistance if the recipient voluntarily, and without good cause attributable to the employer, discontinued employment with the employer or was discharged for misconduct connected with work or for misconduct which interferes with or adversely affects employment. The commissioner's report shall provide information on the projected number of families likely to be eligible for supplementary payments during the 1997-1999 biennium; and on the costs, including administrative costs, of making those payments to eligible recipients. The report shall be presented to the legislature by February 15, 1996.

Sec. 21. Minnesota Statutes 1994, section 256.81, is amended to read:

256.81 [COUNTY AGENCY, DUTIES.]

(1) The county agency shall keep such records, accounts, and statistics in relation to aid to families with dependent children as the state agency shall prescribe.

(2) Each grant of aid to families with dependent children shall be paid to the recipient by the county agency unless paid by the state agency. Payment must be by check or electronic means except in those instances in which the county agency, subject to the rules of the state agency, determines that payments for care shall be made to an individual other than the parent or relative with whom the dependent child is living or to vendors of goods and services for the benefit of the child because such parent or relative is unable to properly manage the funds in the best interests and welfare of the child. There is a presumption of mismanagement of funds whenever a recipient is more than 30 days in arrears on payment of rent except when the recipient has withheld rent to enforce his or her rights under federal, state, or local housing laws. In cases of mismanagement based solely on failure to pay rent, the county may vendor the rent payments to the landlord. At the request of a recipient, the state or county may make payments directly to vendors of goods and services, but only for goods and services appropriate to maintain the health and safety of the child, as determined by the county.

(3) The state or county may ask the recipient to give written consent authorizing the state or county to provide advance notice to a vendor before vendor payments of rent are reduced or terminated. Whenever possible under state and federal laws and regulations and if the recipient consents, the state or county shall provide at least 30 days notice to vendors before vendor payments of rent are reduced or terminated. If 30 days notice cannot be given, the state or county shall notify the vendor within three working days after the date the state or county becomes aware that vendor payments of rent will be reduced or terminated. When the county notifies a vendor that vendor payments of rent will be reduced or terminated, the county shall include in the notice that it is illegal to discriminate on the grounds that a person is receiving public assistance and the penalties for violation. The county shall also notify the recipient that it is illegal to discriminate on the grounds that a person is receiving public assistance and the procedures for filing a complaint. The county agency may develop procedures, including using the MAXIS system, to implement vendor notice and may charge vendors a fee not exceeding $5 to cover notification costs.

(4) A vendor payment arrangement is not a guarantee that a vendor will be paid by the state or county for rent, goods, or services furnished to a recipient, and the state and county are not liable for any damages claimed by a vendor due to failure of the state or county to pay or to notify the vendor on behalf of a recipient, except under a specific written agreement between the state or county and the vendor or when the state or county has provided a voucher guaranteeing payment under certain conditions.

(5) The county shall be paid from state and federal funds available therefor the amount provided for in section 256.82.

(6) Federal funds available for administrative purposes shall be distributed between the state and the counties in the same proportion that expenditures were made except as provided for in section 256.017.

(7) The commissioner and affected county may require that assistance paid under the AFDC emergency assistance program in the form of a rental unit damage deposit, less any amount retained by the landlord to pay for property damage, be returned to the county when the assistance unit vacates the premises. The damage deposit funds shall be returned to the county only in those cases where the recipient will need the funds to secure a new rental, in which case the funds shall be paid to the recipient's new landlord as a vendor payment.

Sec. 22. Minnesota Statutes 1994, section 256.87, subdivision 1, is amended to read:

Subdivision 1. [ACTIONS AGAINST PARENTS AND FINANCIALLY RESPONSIBLE GRANDPARENTS FOR ASSISTANCE FURNISHED.] For the purposes of this section, a financially responsible grandparent is a natural or adoptive parent of a minor whose dependent child is not living in the grandparents' home. This responsibility is limited to grandparents whose family income is at or above 200 percent of the poverty level and extends to either maternal or paternal grandparents. A minor for purposes of this section is anyone not legally emancipated. A parent or financially responsible grandparent of a child is liable for the amount of assistance furnished under sections 256.031 to 256.0361, 256.72 to 256.87, or under Title IV-E of the Social Security Act or medical assistance under chapter 256, 256B, or 256D to and for the benefit of the child, including any assistance furnished for the benefit of the caretaker of the child, which the parent or financially responsible grandparent has had the ability to pay. The parent's ability to pay must be determined according to chapter 518. The financially responsible grandparent's ability to pay may be determined according to chapter 518. The parent's or financially responsible grandparent's liability is limited to the two years immediately preceding the commencement of the action, except that where child support has been previously ordered, the state or county agency providing the assistance, as assignee of the obligee, shall be entitled to judgments for child support payments accruing within ten years preceding the date of the commencement of the action up to the full amount of assistance furnished. The action may be ordered by the state agency or county agency and shall be brought in the name of the county by the county attorney of the county in which the assistance was

granted, or by the state agency against the parent or financially responsible grandparent for the recovery of the amount of assistance granted, together with the costs and disbursements of the action. The provisions of this subdivision do not apply if the income of the financially responsible grandparent has already been used to determine the child's eligibility for public assistance.

Sec. 23. Minnesota Statutes 1994, section 256.87, subdivision 1a, is amended to read:

Subd. 1a. [CONTINUING SUPPORT CONTRIBUTIONS.] In addition to granting the county or state agency a money judgment, the court may, upon a motion or order to show cause, order continuing support contributions by a parent or financially responsible grandparent found able to reimburse the county or state agency. The order shall be effective for the period of time during which the recipient receives public assistance from any county or state agency and thereafter. The order shall require support according to chapter 518. The financially responsible grandparent's ability to pay may be determined according to chapter 518. An order for continuing contributions is reinstated without further hearing upon notice to the parent or financially responsible grandparent by any county or state agency that assistance is again being provided for the child of the parent or financially responsible grandparent under sections 256.031 to 256.0361, 256.72 to 256.87, or under Title IV-E of the Social Security Act or medical assistance under chapter 256, 256B, or 256D. The notice shall be in writing and shall indicate that the parent or financially responsible grandparent may request a hearing for modification of the amount of support or maintenance.

Sec. 24. Minnesota Statutes 1994, section 256.87, subdivision 5, is amended to read:

Subd. 5. [CHILD NOT RECEIVING ASSISTANCE.] A person or entity having physical custody of a dependent child not receiving assistance under sections 256.72 to 256.87 has a cause of action for child support against the child's absent parents or absent financially responsible grandparents. Upon a motion served on the absent parent or absent financially responsible grandparent, the court shall order child support payments from the absent parent under chapter 518. The absent financially responsible grandparent's ability to pay may be determined according to chapter 518. The commissioner must report to the chairs of the human services policy and funding committees of the legislature by January 1, 1997, on the implementation of the amendments to this subdivision, and to subdivisions 1 and 1a, relating to grandparent responsibility. This subdivision applies only if the person or entity has physical custody with the consent of a custodial parent or approval of the court.

Sec. 25. Minnesota Statutes 1994, section 256.979, is amended by adding a subdivision to read:

Subd. 9. [ACCRUAL OF SUPPORT OBLIGATIONS.] The commissioner of human services shall seek a waiver from the secretary of the Department of Health and Human Services to enable the agency to accrue child support payments received on behalf of both AFDC and non-AFDC clients until the sum total of the money owed by the state agency to the client is at least $10. Obligors shall be assessed a processing fee of $10 to be retained by the county agency in every instance when both of the following conditions exist:

(1) the obligor pays less than the required monthly support obligation; and

(2) that reduced payment would result in a child support payment to an AFDC or non-AFDC client of less than $10 for that month.

Sec. 26. Minnesota Statutes 1994, section 256.983, subdivision 1, is amended to read:

Subdivision 1. [PROGRAMS ESTABLISHED.] Within the limits of available appropriations, and to the extent required or authorized by applicable federal regulations, the commissioner of human services shall require the establishment of fraud prevention investigation programs in the seven counties participating in the fraud prevention investigation pilot project established under section 256.983, and in 11 additional Minnesota counties with the largest aid to families with dependent children program caseloads as of July 1, 1991. If funds are sufficient, the commissioner may also extend fraud prevention investigation programs to: (1) other counties that have welfare fraud control programs already in place based on enhanced funding contracts covering the fraud investigation function; and (2) counties that have the largest AFDC caseloads as of July 1, 1993, and are not currently participating in the fraud prevention investigation pilot project. The pilot project may be expanded provided the expansion is budget neutral to the state.

Sec. 27. [256.9850] [IDENTITY VERIFICATION.]

The commissioner of human services shall seek from the secretary of Health and Human Services all necessary waivers of the requirements of the program of AFDC, to enable the commissioner to establish a statewide program to test the effectiveness of identity verification systems in the electronic benefit transfer systems in the state AFDC program. Identity verification provisions shall be added to the statewide requests for proposal on the expansion of electronic benefit transfer systems in the AFDC program.

Sec. 28. Minnesota Statutes 1994, section 256B.0625, subdivision 13, is amended to read:

Subd. 13. [DRUGS.] (a) Medical assistance covers drugs, except for fertility drugs when specifically used to enhance fertility, if prescribed by a licensed practitioner and dispensed by a licensed pharmacist, or by a physician enrolled in the medical assistance program as a dispensing physician. The commissioner, after receiving recommendations from professional medical associations and professional pharmacist associations, shall designate a formulary committee to advise the commissioner on the names of drugs for which payment is made, recommend a system for reimbursing providers on a set fee or charge basis rather than the present system, and develop methods encouraging use of generic drugs when they are less expensive and equally effective as trademark drugs. The formulary committee shall consist of nine members, four of whom shall be physicians who are not employed by the department of human services, and a majority of whose practice is for persons paying privately or through health insurance, three of whom shall be pharmacists who are not employed by the department of human services, and a majority of whose practice is for persons paying privately or through health insurance, a consumer representative, and a nursing home representative. Committee members shall serve three-year terms and shall serve without compensation. Members may be reappointed once.

(b) The commissioner shall establish a drug formulary. Its establishment and publication shall not be subject to the requirements of the administrative procedure act, but the formulary committee shall review and comment on the formulary contents. The formulary committee shall review and recommend drugs which require prior authorization. The formulary committee may recommend drugs for prior authorization directly to the commissioner, as long as opportunity for public input is provided. Prior authorization may be requested by the commissioner based on medical and clinical criteria before certain drugs are eligible for payment. Before a drug may be considered for prior authorization at the request of the commissioner:

(1) the drug formulary committee must develop criteria to be used for identifying drugs; the development of these criteria is not subject to the requirements of chapter 14, but the formulary committee shall provide opportunity for public input in developing criteria;

(2) the drug formulary committee must hold a public forum and receive public comment for an additional 15 days; and

(3) the commissioner must provide information to the formulary committee on the impact that placing the drug on prior authorization will have on the quality of patient care and information regarding whether the drug is subject to clinical abuse or misuse. Prior authorization may be required by the commissioner before certain formulary drugs are eligible for payment. The formulary shall not include:

(i) drugs or products for which there is no federal funding;

(ii) over-the-counter drugs, except for antacids, acetaminophen, family planning products, aspirin, insulin, products for the treatment of lice, vitamins for adults with documented vitamin deficiencies, and vitamins for children under the age of seven and pregnant or nursing women;

(iii) any other over-the-counter drug identified by the commissioner, in consultation with the drug formulary committee, as necessary, appropriate, and cost-effective for the treatment of certain specified chronic diseases, conditions or disorders, and this determination shall not be subject to the requirements of chapter 14;

(iv) anorectics; and

(v) drugs for which medical value has not been established.

The commissioner shall publish conditions for prohibiting payment for specific drugs after considering the formulary committee's recommendations.

(c) The basis for determining the amount of payment shall be the lower of the actual acquisition costs of the drugs plus a fixed dispensing fee established by the commissioner, the maximum allowable cost set by the federal government or by the commissioner plus the fixed dispensing fee or the usual and customary price charged to the public. Actual acquisition cost includes quantity and other special discounts except time and cash discounts. The actual acquisition cost of a drug shall be estimated by the commissioner, at average wholesale price minus 7.6 percent effective January 1, 1994. The maximum allowable cost of a multisource drug may be set by the commissioner and it shall be comparable to, but no higher than, the maximum amount paid by other third-party payors in this state who

have maximum allowable cost programs. Establishment of the amount of payment for drugs shall not be subject to the requirements of the administrative procedure act. An additional dispensing fee of $.30 may be added to the dispensing fee paid to pharmacists for legend drug prescriptions dispensed to residents of long-term care facilities when a unit dose blister card system, approved by the department, is used. Under this type of dispensing system, the pharmacist must dispense a 30-day supply of drug. The National Drug Code (NDC) from the drug container used to fill the blister card must be identified on the claim to the department. The unit dose blister card containing the drug must meet the packaging standards set forth in Minnesota Rules, part 6800.2700, that govern the return of unused drugs to the pharmacy for reuse. The pharmacy provider will be required to credit the department for the actual acquisition cost of all unused drugs that are eligible for reuse. Over-the-counter medications must be dispensed in the manufacturer's unopened package. The commissioner may permit the drug clozapine to be dispensed in a quantity that is less than a 30-day supply. Whenever a generically equivalent product is available, payment shall be on the basis of the actual acquisition cost of the generic drug, unless the prescriber specifically indicates "dispense as written - brand necessary" on the prescription as required by section 151.21, subdivision 2. Implementation of any change in the fixed dispensing fee that has not been subject to the administrative procedure act is limited to not more than 180 days, unless, during that time, the commissioner initiates rulemaking through the administrative procedure act.

(d) Until the date the on-line, real-time Medicaid Management Information System (MMIS) upgrade is successfully implemented, as determined by the commissioner of administration, a pharmacy provider may require individuals who seek to become eligible for medical assistance under a one-month spenddown, as provided in section 256B.056, subdivision 5, to pay for services to the extent of the spenddown amount at the time the services are provided. A pharmacy provider choosing this option shall file a medical assistance claim for the pharmacy services provided. If medical assistance reimbursement is received for this claim, the pharmacy provider shall return to the individual the total amount paid by the individual for the pharmacy services reimbursed by the medical assistance program. If the claim is not eligible for medical assistance reimbursement because of the provider's failure to comply with the provisions of the medical assistance program, the pharmacy provider shall refund to the individual the total amount paid by the individual. Pharmacy providers may choose this option only if they apply similar credit restrictions to private pay or privately insured individuals. A pharmacy provider choosing this option must inform individuals who seek to become eligible for medical assistance under a one-month spenddown of (1) their right to appeal the denial of services on the grounds that they have satisfied the spenddown requirement, and (2) their potential eligibility for the MinnesotaCare program or the children's health plan.

Sec. 29. Minnesota Statutes 1994, section 256D.05, subdivision 6, is amended to read:

Subd. 6. [ASSISTANCE FOR PERSONS WITHOUT A VERIFIED RESIDENCE.] (a) For applicants or recipients of general assistance, emergency general assistance, or work readiness assistance who do not have a verified residence address, the county agency may provide assistance using one or more of the following methods:

(1) the county agency may provide assistance in the form of vouchers or vendor payments and provide separate vouchers or vendor payments for food, shelter, and other needs;

(2) the county agency may divide the monthly assistance standard into weekly payments, whether in cash or by voucher or vendor payment. Nothing in this clause prevents the county agency from issuing voucher or vendor payments for emergency general assistance in an amount less than the standards of assistance; and

(3) the county agency may determine eligibility and provide assistance on a weekly basis. Weekly assistance can be issued in cash or by voucher or vendor payment and can be determined either on the basis of actual need or by prorating the monthly assistance standard; and

(4) for the purposes of clauses (2) and (3), the county agency may divide the monthly assistance standard as follows: $50 per week for each of the first three weeks, and the remainder for the fourth week.

(b) An individual may verify a residence address by providing a driver's license; a state identification card; a statement by the landlord, apartment manager, or homeowner verifying that the individual is residing at the address; or other written documentation approved by the commissioner.

(c) Notwithstanding the provisions of section 256D.06, subdivision 1, if the county agency elects to provide assistance on a weekly payment basis, the agency may not provide assistance for a period during which no need is claimed by the individual unless the individual has good cause for failing to claim need. The individual must be notified, each time weekly assistance is provided, that subsequent weekly assistance will not be issued unless the individual claims need. The advance notice required under section 256D.10 does not apply to weekly assistance that is withheld because the individual failed to claim need without good cause.

(d) The county agency may not issue assistance on a weekly basis to an applicant or recipient who has professionally certified mental illness or mental retardation or a related condition, or to an assistance unit that includes minor children, unless requested by the assistance unit.

Sec. 30. Minnesota Statutes 1994, section 256D.09, is amended by adding a subdivision to read:

Subd. 5. [VENDOR PAYMENTS TO LANDLORDS.] The commissioner and affected county may require that assistance paid under the emergency general assistance program in the form of a rental unit damage deposit, less any amount retained by the landlord to pay for property damage, be returned to the county when the recipient vacates the premises. The damage deposit funds shall be returned to the county only in those cases where the recipient will need the funds to secure a new rental, in which case the funds shall be paid to the recipient's new landlord as a vendor payment.

Sec. 31. [256D.0511] [LUMP-SUM PAYMENTS.]

A person who is temporarily ineligible for AFDC due to a lump-sum payment is also ineligible for general assistance and work readiness benefits for the same duration unless the person demonstrates that the lump-sum payment was used for basic needs, which includes education, training and work expenses necessary to become economically self-sufficient, and medical expenses.

Sec. 32. Minnesota Statutes 1994, section 256D.09, is amended by adding a subdivision to read:

Subd. 6. [RECOVERY OF OVERPAYMENTS.] (a) If an amount of general assistance, family general assistance, or work readiness assistance is paid to a recipient in excess of the payment due, it shall be recoverable by the county agency. The agency shall give written notice to the recipient of its intention to recover the overpayment.

(b) When an overpayment occurs, the county agency shall recover the overpayment from a current recipient by reducing the amount of aid payable to the assistance unit of which the recipient is a member, for one or more monthly assistance payments, until the overpayment is repaid. All county agencies in the state shall reduce the assistance payment by three percent of the assistance unit's standard of need or the amount of the monthly payment, whichever is less, for all overpayments whether or not the overpayment is due solely to agency error. The amount of this reduction is ten percent, if the overpayment is due solely to having wrongfully obtained assistance, whether based on:

(1) a court order;

(2) the finding of an administrative fraud disqualification hearing or the waiver of such a hearing; or

(3) a confession or judgment containing an admission of an intentional program violation.

(c) In cases when there is both an overpayment and underpayment, the county agency shall offset one against the other in correcting the payment.

(d) Overpayments may also be voluntarily repaid, in part or in full, by the individual, in addition to the aid reductions provided in this subdivision, until the total amount of the overpayment is repaid.

(e) The county agency shall make reasonable efforts to recover overpayments to persons no longer on assistance under standards adopted in rule by the commissioner of human services. The county agency need not attempt to recover overpayments of less than $35 paid to an individual no longer on assistance if the individual does not receive assistance again within three years, unless the individual has been convicted of violating section 256.98.

Sec. 33. [268.905] [TARGETED JOBS DEVELOPMENT PLAN.]

(a) The commissioners of economic security and human services shall jointly develop a plan for a pilot project involving job creation and support services for families who are currently receiving assistance under the program of AFDC, or who are at risk of needing assistance under the program. The plan shall have as its goal creating, through job subsidies or other state incentives, long-term or permanent jobs that pay wages that would add up to an annual income of at least 125 percent of the federal poverty level for a family of three, with no more than 40 hours of work required each week. The plan shall ensure the following:

(1) The jobs created must not replace existing jobs; and wages must be on a par with those of similar existing jobs within the company or organization.

(2) Employers receiving a subsidy or other state incentive are required to retain the employee for at least 18 months unless the employee is guilty of gross misconduct or it is clear after three months that the employee is unable to perform the work required. If the employee is terminated by the employer before the 18-month period, a proportional amount of the job subsidy or other incentive shall be returned to the state.

(3) Participating employers must provide health care benefits to plan participants.

(4) Plan participants shall be provided with child care under section 256H.03.

(5) Newly created jobs will be available to: (i) unemployed single parents, (ii) current AFDC recipients, and (iii) families with incomes less than 125 percent of the federal poverty level where only one parent is able to work.

(b) In developing the jobs program, the commissioners shall also address the need for jobs that match the skills and education of the eligible population, the need for specific and flexible hours for parents to care for their families, and the need for transportation to work and child care providers.

Sec. 34. [CHILD CARE SELF-EMPLOYMENT PROJECT.]

The commissioners of human services and economic security shall develop a plan for an AFDC grant diversion pilot project in Region 6E, to commence October 1, 1996. The purpose of the project is to enable AFDC caretakers to become self-sufficient. The Community Action Agency and the Child Care Resource and Referral Agency of that region shall work together to train and place qualified AFDC caretakers in child care centers or licensed family child care homes. The pilot shall be operated without the use of additional state funds. Child care development funds available for this region may be used to start up or expand child care services in this region.

Sec. 35. [STUDY AND REPORT.]

The commissioner of human services shall report to the chairs of the human services policy and funding committees of the legislature by January 15, 1996, recommendations for establishing a statewide employment and training program for unemployed noncustodial parents modeled after the national parent's fair share pilot project. The report shall include cost estimates and must be developed in consultation with the departments of trade and economic development and economic security, and with counties that participate in the pilot project and other interested counties.

Sec. 36. [STATE STANDARD OF NEED STUDY.]

The commissioner shall conduct a study of, and make recommendations on, the state standard of need and payment levels in the AFDC program. The study shall be conducted in accordance with the requirements of federal law and the requirements of this section. In conducting the study the commissioner shall make detailed findings on the cost of the following in Minnesota: shelter, food, clothing, fuel, transportation, and other basic needs. The commissioner shall also consider regional differences within the state in determining the cost of items included in the standard of need budget. In all cost estimates, the commissioner shall take into account the ages of the AFDC recipients, most specifically the fact that most of the recipients are children whose needs, particularly for food and clothing items, may exceed that of adults. The commissioner shall also examine various options for enabling working families on AFDC to retain more of their earnings, including the option of increasing the state standard of need, alone, or in concert with various "fill-the-gap" budgeting systems that could be used to determine assistance levels for working AFDC families. The commissioner shall present the report with recommendations to the chairs of the human services policy and funding committees of the legislature by February 15, 1996.

Sec. 37. [CHILD CARE COOPERATIVES STUDY.]

The commissioner of human services shall determine the feasibility of operation and use of child care cooperatives by AFDC recipients who are working or attending school.

The commissioner shall present to the 1996 legislature the results of the determination and statewide phased-in implementation plan starting with counties designated by the commissioner, including at a minimum, at least one rural and one metro county. The plan must ensure parental choice of a provider that best suits the family needs, identify evaluation criteria, state plan amendments, state legislation waivers, and all other information that is necessary to implement the plan.

Sec. 38. [MINNESOTA PARENTS' FAIR SHARE; MANDATORY COMMUNITY WORK EXPERIENCE.]

The Minnesota parents' fair share (MNPFS) pilot project shall include a mandatory community work experience component for participants who fail to comply with other requirements of the pilot project.

Sec. 39. [FEDERAL WAIVER PACKAGE.]

Subdivision 1. [REQUEST.] The department of human services shall make a single request for the waivers listed in this section to the United States Department of Health and Human Services. The waivers in the package support and encourage AFDC recipients to move from reliance on welfare to self-sufficiency. The commissioner shall explore alternatives to the waiver evaluation process, which is required by the federal government, in an effort to reduce costs of the evaluation, and develop a cost-effective evaluation process for the waiver package in this section. The commissioner shall investigate the feasibility of the following: (1) one evaluation for the entire waiver package; (2) consolidation of evaluation efforts for the same or similar waiver with another state; (3) completion of the evaluation internally, possibly by the office of legislative auditor; and (4) other alternatives. The commissioner shall also notify the revisor of statutes when each waiver is approved by the federal government.

Subd. 2. [WAIVER TO DISREGARD PARENTAL INCOME WHEN A MINOR PARENT LIVES WITH PARENTS.] The commissioner shall seek a waiver from the filing unit requirement, under Code of Federal Regulations, title 45, section 206.10(a)(1)(vii), for minor parents who live with a parent on AFDC with other dependent children so that the minor can get the same separate need standard as the minor would get if the parent were not on AFDC. The commissioner shall also seek a waiver to disregard all parental income if the parent is on AFDC and has other dependent children; and if the parent and other children are not on AFDC, to disregard income equal to or above 200 percent of the federal poverty guideline for a family size not including the minor parent and the minor parent's children and deem the remainder of parental income under Code of Federal Regulations, title 45, section 233.20(a)(3)(xviii). The general policy in requesting these waivers is to keep the family intact and give the minor parent, the dependent child, and the grandparent an incentive to continue living together as a family. The incentive is to provide the minor parent with a grant, based on a two-child standard, without taking a grant away from the grandparent, and disregarding a portion of the grandparent's income. These waivers encourage a minor parent to remain living with the parent by reducing the barriers to receiving assistance.

Subd. 3. [WAIVER OF 100-HOUR RULE; WORK HISTORY REQUIREMENT; 30-DAY WAITING PERIOD REQUIREMENT.] The commissioner shall seek a waiver to eliminate the 100-hour rule under Code of Federal Regulations, title 45, section 233.100(a)(1)(i); the eligibility requirement for past employment history under Code of Federal Regulations, title 45, section 233.100(a)(3)(iii); and the requirement for a 30-day waiting period under Code of Federal Regulations, title 45, section 233.100(a)(3)(i).

Subd. 4. [WAIVER OF MOTOR VEHICLE RESOURCE LIMIT.] The commissioner shall seek a waiver to increase the maximum equity value of a licensed motor vehicle, which can be excluded as a resource under the federal regulations, from $1,500 to the level permitted under the federal Food Stamp Program. This waiver is essential for AFDC recipients who need reliable transportation to participate in education, work, and training to become self-sufficient.

Subd. 5. [WAIVER TO ALLOW STUDENTS TO EARN INCOME.] The commissioner shall seek a waiver of the federal regulation which includes the earned income of dependent children and minor caretakers who are attending school at least half time when determining eligibility for AFDC. The commissioner shall also seek a waiver which allows savings set aside in a separate account specifically for future education or employment needs to be excluded from the AFDC resource limits.

Subd. 6. [PARENTING SKILLS TRAINING; WAIVER FOR BONUS.] The commissioner of human services shall seek a waiver of federal requirements in the program of AFDC for a pilot project in Hennepin county that will enable the county to:

(1) provide a one-time bonus of $50 to both the custodial and noncustodial parent in recipient families who attend a county-approved program of ten hours or more in parent skills training; and

(2) sanction families who fail to attend the parent skills training by reducing their AFDC grants by $50.

This waiver shall be part of the waiver request described in this section and shall be funded from state and federal sources in the same manner as AFDC. The waiver, if approved, shall be implemented in Hennepin county on the same time schedule in this section.

Subd. 7. [WAIVER TO ALLOW START WORK OFFSET.] The commissioner shall seek a waiver of the federal regulation which requires the state to recover AFDC overpayments from the assistance unit if the overpayment occurred in the month the assistance unit started working and the overpayment resulted from the assistance unit's increased earnings. This "start work offset" is available to an assistance unit every two years.

Subd. 8. [EDUCATION INITIATIVE.] The commissioner of human services shall seek a waiver of the requirements of the program of AFDC, to require recipient families to be in contact on a quarterly basis with the teachers of their dependent children who are in grades K-12, to assess the child's educational status and to receive assistance in supporting the child's educational progress. The teacher and parent shall develop an agreement in which the teacher will specify steps a parent should take to further the child's education. Recipients may make alternative arrangements, such as phone contact or other alternative options, if a face-to-face meeting is not feasible for the family.

Subd. 9. [IMPLEMENTATION.] The commissioner shall notify the chairs of the human services policy and funding committees of the senate and house of representatives when the waivers authorized by this section are received. The commissioner shall provide details on the substance of the federal requirements for each waiver received. No waiver shall be implemented until approved by the legislature.

Subd. 10. [ADDITIONAL WAIVER REQUEST FOR EMPLOYED DISABLED PERSONS.] The commissioner shall seek a federal waiver in order to implement a work incentive for disabled persons eligible for medical assistance who are not residents of long-term care facilities. The waiver shall request authorization to establish a medical assistance earned income disregard for employed disabled persons equivalent to the threshold amount applied to persons who qualify under section 1619(b) of the Social Security Act, except that when a disabled person's earned income reaches the maximum income permitted at the threshold under section 1619(b), the person shall retain medical assistance eligibility and must contribute to the costs of medical care on a sliding fee basis. Before implementing any waiver received under this subdivision, the commissioner must seek the approval of the legislature. In seeking legislative approval, the commissioner shall provide detailed information on the fiscal and programmatic implications of waiver implementation.

Sec. 40. [APPROPRIATIONS; COMMISSIONER OF HUMAN SERVICES.]

Subdivision 1. [APPROPRIATIONS.] The appropriations in this section are from the general fund to the commissioner of human services and are available for the biennium ending June 30, 1997.

Subd. 2. [FOOD STAMP OUTREACH.] $250,000 is appropriated for the food stamp outreach program authorized by Minnesota Statutes, section 256.01, for the period beginning January 1, 1996, and ending June 30, 1997, for the following purposes:

(1) paying the expenses of planning and implementing the food stamp outreach program; and

(2) in those counties where only 15 to 30 percent of persons below 125 percent of the poverty level are participating in the food stamp program, contracting with community organizations and groups to conduct food stamp outreach programs. These programs should include one or more of the following objectives:

(i) provision of program referrals and program literature;

(ii) provision of support for the reduction of any stigma that may be attached to working with public assistance program administrators and clients;

(iii) provision of leadership in developing better understanding and greater acceptance of public assistance programs, including food stamps; and

(iv) provision of necessary and allowable expenses of persons participating in any food plan outreach program task force established by the commissioner.

Subd. 3. [AFDC FEDERAL WAIVER PACKAGE.] (a) $999,000 is appropriated for preparation, submission, and evaluation of the federal AFDC waivers authorized by this act.

(b) $3,137,000 is appropriated for implementation of the AFDC waivers.

Subd. 4. [STRIDE REDESIGN.] $692,000 is appropriated for the child care costs associated with the STRIDE redesign.

Subd. 5. [CHILD SUPPORT ENFORCEMENT.] $50,000 is appropriated for implementation of the waiver to accrue child support payments.

Subd. 6. [FRAUD PREVENTION INVESTIGATION PROGRAM.] $776,000 is added to the appropriation to expand the number of counties participating in the fraud prevention investigation program.

Subd. 7. [STANDARD OF NEED STUDY.] $100,000 is appropriated for standard of need study authorized by section 36.

Subd. 8. [CHILD CARE COOPERATIVES STUDY.] $32,000 is appropriated for the child care cooperatives study and plan implementation.

Subd. 9. [MINNESOTA PARENTS' FAIR SHARE PILOT PROJECT.] $1,000,000 is appropriated for the following purposes:

(a) for a grant to Ramsey county to enable the county to participate in the Minnesota parents' fair share pilot project. As a condition of this grant, the commissioner may require a local match from the county; and

(b) for grants to Anoka and Dakota counties for costs associated with the Minnesota parents' fair share pilot project.

Subd. 10. [BASIC SLIDING FEE PROGRAM.] $18,000,000 is added to the appropriation for the basic sliding fee program established under Minnesota Statutes, section 256H.03.

Subd. 11. [MEDICAL ASSISTANCE WAIVER.] $104,000 is appropriated for purposes of seeking a waiver to provide a work incentive for employed disabled persons.

Sec. 41. [APPROPRIATIONS; COMMISSIONER OF ECONOMIC SECURITY.]

Subdivision 1. [APPROPRIATIONS.] The appropriations in this section are to the commissioner of economic security from the general fund for the biennium ending June 30, 1997.

Subd. 2. [DISPLACED HOMEMAKERS.] $450,000 is appropriated for the purpose of funding programs for displaced homemakers under Minnesota Statutes, section 268.96.

Subd. 3. [HEAD START.] $5,000,000 is appropriated for the purpose of funding additional participants in Head Start programs.

Sec. 42. [REPEALER.]

Minnesota Statutes 1994, section 256.734, is repealed.

Sec. 43. [EFFECTIVE DATE.]

Section 6 (parenting or pregnant minors) is effective when the waiver requested under section 39, subdivision 2, (Federal waiver package) is implemented. Sections 22, 23, and 24 (256.87, subdvisions 1, 1a, and 5) are effective on the same day that the waiver is implemented to disregard parental income under section 39, subdivision 2 (Federal waiver package). Section 36 (state standard of need study) is effective the day after final enactment.

Section 1. [145.4245] [WOMAN'S RIGHT TO KNOW ACT.]

Subdivision 1. [DEFINITIONS.] As used in this section, the following terms have the meanings given:

(a) "Abortion" means the use or prescription of any instrument, medicine, drug, or any other substance or device intentionally to terminate the pregnancy of a female known to be pregnant, with an intention other than to increase the probability of a live birth, to preserve the life or health of the child after live birth, or to remove a dead fetus.

(b) "Attempt to perform an abortion" means an act, or an omission of a statutorily required act, that, under the circumstances as the actor believes them to be, constitutes a substantial step toward, and more than preparation for, the performance of an abortion in Minnesota in violation of this act.

(c) "Medical emergency" means any condition which, on the basis of the physician's good faith clinical judgment, so complicates the medical condition of a pregnant female as to necessitate the immediate abortion of her pregnancy to avert her death or for which a delay will create serious risk of substantial and irreversible impairment of a major bodily function.

(d) "Physician" means a person licensed under chapter 147.

(e) "Probable gestational age of the unborn child" means what, in the judgment of the physician, will with reasonable probability be the gestational age of the unborn child at the time the abortion is planned to be performed.

Subd. 2. [INFORMED CONSENT.] No abortion shall be performed in this state except with the voluntary and informed consent of the female upon whom the abortion is to be performed. Except in the case of a medical emergency, consent to an abortion is voluntary and informed only if:

(a) The female is told the following, by telephone or in person, by the physician who is to perform the abortion or by a referring physician, at least 24 hours before the abortion:

(1) the name of the physician who will perform the abortion;

(2) the particular medical risks associated with the particular abortion procedure to be employed including, when medically accurate, the risks of infection, hemorrhage, breast cancer, danger to subsequent pregnancies, and infertility;

(3) the probable gestational age of the unborn child at the time the abortion is to be performed; and

(4) the medical risks associated with carrying her child to term.

The information required by this section may be provided by telephone without conducting a physical examination or tests of the patient, in which case the information required to be provided may be based on facts supplied the physician by the female and whatever other relevant information is reasonably available to the physician. It may not be provided by a tape recording, but must be provided during a consultation in which the physician is able to ask questions of the female and the female is able to ask questions of the physician. If a physical examination, tests, or the availability of other information to the physician subsequently indicate, in the medical judgment of the physician, a revision of the information previously supplied to the patient, that revised information may be communicated to the patient at any time prior to the performance of the abortion. Nothing in this section may be construed to preclude provision of required information in a language understood by the patient through a translator.

(b) The female is informed, by telephone or in person, by the physician who is to perform the abortion, by a referring physician, or by an agent of either physician at least 24 hours before the abortion:

(1) that medical assistance benefits may be available for prenatal care, childbirth, and neonatal care;

(2) that the father is liable to assist in the support of her child, even in instances in which the father has offered to pay for the abortion; and

(3) that she has the right to review the printed materials described in section 145.4246. The physician or the physician's agent shall orally inform the female the materials have been provided by the state of Minnesota and that they describe the unborn child and list agencies which offer alternatives to abortion. If the female chooses to view the materials, they shall either be given to her at least 24 hours before the abortion or mailed to her at least 72 hours before the abortion by certified mail, restricted delivery to addressee, which means the postal employee can only deliver the mail to the addressee.

The information required by this section may be provided by a tape recording if provision is made to record or otherwise register specifically whether the female does or does not choose to review the printed materials.

(c) The female certifies in writing, prior to the abortion, that the information described in this section has been furnished her, and that she has been informed of her opportunity to review the information referred to in paragraph (b).

(d) Prior to the performance of the abortion, the physician who is to perform the abortion or the physician's agent receives a copy of the written certification prescribed by paragraph (c).

Sec. 2. [145.4246] [PRINTED INFORMATION.]

Within 90 days after this act is enacted, the department of health shall cause to be published, in English and in each language which is the primary language of two percent or more of the state's population, the following printed materials in such a way as to ensure that the information is easily comprehensible:

(1) geographically indexed materials designed to inform the female of public and private agencies and services available to assist a female through pregnancy, upon childbirth, and while the child is dependent, including adoption agencies, which shall include a comprehensive list of the agencies available, a description of the services they offer, and a description of the manner, including telephone numbers, in which they might be contacted or, at the option of the department of health, printed materials including a toll-free, 24-hour a day telephone number which may be called to obtain, orally, such a list and description of agencies in the locality of the caller and of the services they offer; and

(2) materials designed to inform the female of the probable anatomical and physiological characteristics of the unborn child at two-week gestational increments from the time when a female can be known to be pregnant to full term, including any relevant information on the possibility of the unborn child's survival and pictures or drawings representing the development of unborn children at two-week gestational increments, provided that any such pictures or drawings must contain the dimensions of the fetus and must be realistic and appropriate for the stage of pregnancy depicted. The materials shall be objective, nonjudgmental, and designed to convey only accurate scientific information about the unborn child at the various gestational ages. The material shall also contain objective information describing the methods of abortion procedures commonly employed, the medical risks commonly associated with each procedure, the possible detrimental psychological effects of abortion, and the medical risks commonly associated with each procedure and the medical risks commonly associated with carrying a child to term.

The materials referred to in this section must be printed in a typeface large enough to be clearly legible. The materials required under this section must be available at no cost from the department of health upon request and in appropriate number to any person, facility, or hospital.

Sec. 3. [145.4247] [PROCEDURE IN CASE OF MEDICAL EMERGENCY.]

When a medical emergency compels the performance of an abortion, the physician shall inform the female, prior to the abortion if possible, of the medical indications supporting the physician's judgment that an abortion is necessary to avert her death or that a 24-hour delay will create serious risk of substantial and irreversible impairment of a major bodily function.

Sec. 4. [145.4248] [REMEDIES.]

Subdivision 1. [CIVIL REMEDIES.] Any person upon whom an abortion has been performed or the parent of a minor upon whom an abortion has been performed may maintain an action against the person who performed the abortion in knowing or reckless violation of this act for actual and punitive damages. Any person upon whom an abortion has been attempted without complying with this act may maintain an action against the person who attempted to perform the abortion in knowing or reckless violation of this act for actual and punitive damages. Punitive damages may be sought and awarded only as provided under sections 549.191 and 549.20.

If judgment is rendered in favor of the plaintiff in any action described in this section, the court shall also render judgment for a reasonable attorney's fee in favor of the plaintiff against the defendant. If judgment is rendered in favor of the defendant and the court finds that the plaintiff's suit was frivolous and brought in bad faith, the court shall also render judgment for a reasonable attorney's fee in favor of the defendant against the plaintiff.

Subd. 2. [PROTECTION OF PRIVACY IN COURT PROCEEDINGS.] In every civil action brought under this act, the court shall rule whether the anonymity of any female upon whom an abortion has been performed or attempted shall be preserved from public disclosure if she does not give her consent to such disclosure. The court, upon motion or sua sponte, shall make such a ruling and, upon determining that her anonymity should be preserved, shall issue orders to the parties, witnesses, and counsel and shall direct the sealing of the record and exclusion of individuals from courtrooms or hearing rooms to the extent necessary to safeguard her identity from public disclosure. Each order must be accompanied by specific written findings explaining why the anonymity of the female should be preserved from public disclosure, why the order is essential to that end, how the order is narrowly tailored to serve that interest, and why no reasonable less restrictive alternative exists. In the absence of written consent of the female upon whom an abortion has been performed or attempted, anyone, other than a public official, who brings an action under subdivision 1, shall do so under a pseudonym. This section may not be construed to conceal the identity of the plaintiff or of witnesses from the defendant.

Sec. 5. [145.4249] [SEVERABILITY.]

If any provision, word, phrase, or clause of this act or the application thereof to any person or circumstance is held invalid, such invalidity shall not affect the provisions, words, phrases, clauses, or applications of this act which can be given effect without the invalid provision, word, phrase, clause, or application and to this end, the provisions, words, phrases, and clauses of this act are declared to be severable.

Sec. 6. Minnesota Statutes 1994, section 518.575, is amended to read:

518.575 [PUBLICATION OF NAMES OF DELINQUENT CHILD SUPPORT OBLIGORS.]

Subdivision 1. [PUBLISHED INFORMATION.] Every three months the department of human services shall publish in the newspaper of widest circulation in each county a list of the names name and last known addresses address of each person who (1) is a child support obligor, (2) resides in the county, (3) is at least $3,000 in arrears, and (4) has not made a child support payment, or has made only partial child support payments that total less than 25 percent of the amount of child support owed, for the last 12 months including any payments made through the interception of federal or state taxes. The rate charged for publication shall be the newspaper's lowest classified display rate, including all available discounts. An obligor's name may not be published if the obligor claims in writing, and the department of human services determines, there is good cause for the nonpayment of child support. The list must be based on the best information available to the state at the time of publication. The department may accept offers to publish the information at no charge.

Before publishing the name of the obligor, the department of human services shall send a notice to the obligor's last known address which states the department's intention to publish the obligor's name and the amount of child support the obligor owes. The notice must also provide an opportunity to have the obligor's name removed from the list by paying the arrearage or by entering into an agreement to pay the arrearage, and the final date when the payment or agreement can be accepted.

The department of human services shall insert with the notices sent to the obligee, a notice stating the intent to publish the obligor's name, and the criteria used to determine the publication of the obligor's name.

Subd. 2. [REPORT TO LEGISLATURE.] The department of human services shall report to the legislature in January 1997, in the department of human services annual report to the legislature, the fiscal implications of the program, including related costs and savings.

Sec. 7. [APPROPRIATIONS; COMMISSIONER OF HEALTH]

$116,000 is appropriated from the general fund to the commissioner of health for the biennium ending June 30, 1997, for purposes of preparing and disseminating the documents required by section 2.

Section 1. Minnesota Statutes 1994, section 13.46, subdivision 2, is amended to read:

Subd. 2. [GENERAL.] (a) Unless the data is summary data or a statute specifically provides a different classification, data on individuals collected, maintained, used, or disseminated by the welfare system is private data on individuals, and shall not be disclosed except:

(1) pursuant to section 13.05;

(2) pursuant to court order;

(3) pursuant to a statute specifically authorizing access to the private data;

(4) to an agent of the welfare system, including a law enforcement person, attorney, or investigator acting for it in the investigation or prosecution of a criminal or civil proceeding relating to the administration of a program;

(5) to personnel of the welfare system who require the data to determine eligibility, amount of assistance, and the need to provide services of additional programs to the individual;

(6) to administer federal funds or programs;

(7) between personnel of the welfare system working in the same program;

(8) the amounts of cash public assistance and relief paid to welfare recipients in this state, including their names and, social security numbers, income, addresses, and other demographic data as required, upon request by the department of revenue to administer the property tax refund law, supplemental housing allowance, early refund of refundable tax credits, and the income tax. "Refundable tax credits" means the dependent care credit under section 290.067, the Minnesota working family credit under section 290.0671, and the property tax refund under section 290A.04;

(9) to the Minnesota department of economic security for the purpose of monitoring the eligibility of the data subject for reemployment insurance, for any employment or training program administered, supervised, or certified by that agency, or for the purpose of administering any rehabilitation program, whether alone or in conjunction with the welfare system, and to verify receipt of energy assistance for the telephone assistance plan;

(10) to appropriate parties in connection with an emergency if knowledge of the information is necessary to protect the health or safety of the individual or other individuals or persons;

(11) data maintained by residential facilities as defined in section 245A.02 may be disclosed to the protection and advocacy system established in this state pursuant to Part C of Public Law Number 98-527 to protect the legal and human rights of persons with mental retardation or other related conditions who live in residential facilities for these persons if the protection and advocacy system receives a complaint by or on behalf of that person and the person does not have a legal guardian or the state or a designee of the state is the legal guardian of the person;

(12) to the county medical examiner or the county coroner for identifying or locating relatives or friends of a deceased person;

(13) data on a child support obligor who makes payments to the public agency may be disclosed to the higher education coordinating board to the extent necessary to determine eligibility under section 136A.121, subdivision 2, clause (5);

(14) participant social security numbers and names collected by the telephone assistance program may be disclosed to the department of revenue to conduct an electronic data match with the property tax refund database to determine eligibility under section 237.70, subdivision 4a;

(15) the current address of a recipient of aid to families with dependent children may be disclosed to law enforcement officers who provide the name and social security number of the recipient and satisfactorily demonstrate that: (i) the recipient is a fugitive felon, including the grounds for this determination; (ii) the location or apprehension of the felon is within the law enforcement officer's official duties; and (iii) the request is made in writing and in the proper exercise of those duties;

(16) the current address of a recipient of general assistance, work readiness, or general assistance medical care may be disclosed to probation officers and corrections agents who are supervising the recipient, and to law enforcement officers who are investigating the recipient in connection with a felony level offense;

(17) information obtained from food stamp applicant or recipient households may be disclosed to local, state, or federal law enforcement officials, upon their written request, for the purpose of investigating an alleged violation of the food stamp act, in accordance with Code of Federal Regulations, title 7, section 272.1(c); or

(18) data on a child support obligor who is in arrears may be disclosed for purposes of publishing the data pursuant to section 518.575.

(b) Information on persons who have been treated for drug or alcohol abuse may only be disclosed in accordance with the requirements of Code of Federal Regulations, title 42, sections 2.1 to 2.67.

(c) Data provided to law enforcement agencies under paragraph (a), clause (15), (16), or (17), or paragraph (b), are investigative data and are confidential or protected nonpublic while the investigation is active. The data are private after the investigation becomes inactive under section 13.82, subdivision 5, paragraph (a) or (b).

(d) Mental health data shall be treated as provided in subdivisions 7, 8, and 9, but is not subject to the access provisions of subdivision 10, paragraph (b).

Sec. 2. Minnesota Statutes 1994, section 268.12, subdivision 12, is amended to read:

Subd. 12. [INFORMATION.] Except as hereinafter otherwise provided, data gathered from any employing unit or individual pursuant to the administration of sections 268.03 to 268.231, and from any determination as to the benefit rights of any individual are private data on individuals or nonpublic data not on individuals as defined in section 13.02, subdivisions 9 and 12, and may not be disclosed except pursuant to this subdivision or a court order. These data may be disseminated to and used by the following agencies without the consent of the subject of the data:

(a) state and federal agencies specifically authorized access to the data by state or federal law;

(b) any agency of this or any other state; or any federal agency charged with the administration of an employment security law or the maintenance of a system of public employment offices;

(c) local human rights groups within the state which have enforcement powers;

(d) the department of revenue shall have access to department of economic security private data on individuals and nonpublic data not on individuals only to the extent necessary for enforcement of Minnesota tax laws;

(e) public and private agencies responsible for administering publicly financed assistance programs for the purpose of monitoring the eligibility of the program's recipients;

(f) the department of labor and industry on an interchangeable basis with the department of economic security subject to the following limitations and notwithstanding any law to the contrary:

(1) the department of economic security shall have access to private data on individuals and nonpublic data not on individuals for uses consistent with the administration of its duties under sections 268.03 to 268.231; and

(2) the department of labor and industry shall have access to private data on individuals and nonpublic data not on individuals for uses consistent with the administration of its duties under state law;

(g) the department of trade and economic development may have access to private data on individual employing units and nonpublic data not on individual employing units for its internal use only; when received by the department of trade and economic development, the data remain private data on individuals or nonpublic data;

(h) local and state welfare agencies for monitoring the eligibility of the data subject for assistance programs, for the early refund of refundable tax credits pursuant to section 4, or for any employment or training program administered by those agencies, whether alone, in combination with another welfare agency, or in conjunction with the department of economic security;

(i) local, state, and federal law enforcement agencies for the sole purpose of ascertaining the last known address and employment location of the data subject, provided the data subject is the subject of a criminal investigation; and

(j) the department of health may have access to private data on individuals and nonpublic data not on individuals solely for the purposes of epidemiologic investigations.

Data on individuals and employing units which are collected, maintained, or used by the department in an investigation pursuant to section 268.18, subdivision 3, are confidential as to data on individuals and protected nonpublic data not on individuals as defined in section 13.02, subdivisions 3 and 13, and shall not be disclosed except pursuant to statute or court order or to a party named in a criminal proceeding, administrative or judicial, for preparation of a defense.

Tape recordings and transcripts of recordings of proceedings before a referee of the department and exhibits offered by parties other than the department and received into evidence at those proceedings are private data on individuals and nonpublic data not on individuals and shall be disclosed only pursuant to the administration of section 268.10, subdivisions 3 to 8, or pursuant to a court order.

Aggregate data about employers compiled from individual job orders placed with the department of economic security are private data on individuals and nonpublic data not on individuals as defined in section 13.02, subdivisions 9 and 12, if the commissioner determines that divulging the data would result in disclosure of the identity of the employer. The general aptitude test battery and the nonverbal aptitude test battery as administered by the department are also classified as private data on individuals or nonpublic data.

Data on individuals collected, maintained, or created because an individual applies for benefits or services provided by the energy assistance and weatherization programs administered by the department of economic security is private data on individuals and shall not be disseminated except pursuant to section 13.05, subdivisions 3 and 4.

Data gathered by the department pursuant to the administration of sections 268.03 to 268.231 shall not be made the subject or the basis for any suit in any civil proceedings, administrative or judicial, unless the action is initiated by the department.

Testimony obtained under subdivision 13 and section 268.10, subdivision 3, may not be used or considered in any civil, administrative, or contractual proceeding, except by a local, state, or federal human rights group with enforcement powers, unless the proceeding is initiated by the department.

Sec. 3. [JOINT EFFORT; INCENTIVE TO WORK.]

The departments of human services and revenue, in consultation with the department of economic security, must jointly implement a plan to provide the following monetary supplements on a monthly basis to eligible working families: federal earned income tax credit, Minnesota working family credit under section 290.0671, property tax refund under section 290A.04, and dependent care credit under section 290.067. The commissioners of human services and revenue shall report the recommendations for implementation to the chairs of the human services policy and funding committees, and the chairs of the tax committees of the legislature by January 1, 1996.

Sec. 4. [EARLY REFUND OF REFUNDABLE TAX CREDITS.]

Notwithstanding any law to the contrary, the commissioner of revenue may beginning with the first quarter of calendar year 1996, refund on a monthly basis to taxpayers selected by the commissioner of human services an amount based on an estimate of how much the refundable credits of Minnesota Statutes, sections 290.067, 290.0671, and 290A.04, generated in a month exceed the estimated tax imposed under Minnesota Statutes, section 290.06, for the month. Refunds issued under this program will be considered a tax on the taxpayer for the year in which the credits are generated for the purposes of assessing and collecting overpayments of the credits.

Sec. 5. [APPROPRIATION; TAX CREDITS.]

$200,000 is appropriated from the general fund to the commissioner of human services for the biennium ending June 30, 1997, for purposes of implementing sections 1 to 4.

Section 1. Minnesota Statutes 1994, section 256.035, subdivision 6d, is amended to read:

Subd. 6d. [LENGTH OF JOB SEARCH OBLIGATION TO SEEK AND OBTAIN FULL-TIME EMPLOYMENT.] (a) When the family support agreement specifies a date when job search should begin, the parental caregiver must participate in employment search activities. If, after three months of search, the parental caregiver does not find a job that is consistent with the parental caregiver's employment goal, the parent must accept any suitable employment. The search may be extended for up to three months if the parental caregiver seeks and needs additional job search assistance.

(b) When the family support agreement specifies job search consistent with the overall employment goal, the caregiver is expected to seek and accept full-time employment. For this purpose, full-time employment means 30 or more hours a week. Caregivers who are single parents with a child under six satisfy this requirement by working 20 or more hours a week.

(c) A caregiver who voluntarily quits suitable employment without good cause or without agreement of the case manager, or who is terminated for nonperformance, must contact the case manager within ten calendar days of the date employment ended to schedule a meeting to revise the family support agreement. A caregiver who fails to contact the case manager within the required time or fails to attend a scheduled meeting to revise the family support agreement is subject to sanction. If the revised family support agreement specifies job search, the caregiver must take any suitable employment. A caregiver who fails to comply is subject to sanction. A caregiver who voluntarily quits suitable employment with good cause or who is laid off must contact the case manager within ten calendar days of

the date employment ended to schedule a meeting to revise the family support agreement. A caregiver who fails to contact the case manager within the required time or fails to attend a scheduled meeting to revise the family support agreement is subject to sanction. If the family support agreement specifies job search, the search is limited to three months to find a job related to the caregiver's overall employment goal. After three months, the caregiver must take any suitable employment. A caregiver who fails to comply is subject to sanction.

Section 1. [256.7351] [WORK FIRST PROGRAM.]

Subdivision 1. [CITATION.] Sections 256.7351 to 256.7359 may be cited as the work first program.

Subd. 2. [DEFINITIONS.] As used in sections 256.7351 to 256.7359, the following words have the meanings given them.

(a) "AFDC" means aid to families with dependent children.

(b) "AFDC-UP" means AFDC clients who are eligible for assistance by reason of unemployment as defined by the commissioner under section 256.12, subdivision 14.

(c) "Applicant" means an individual who has submitted a request for assistance and has never received an AFDC or FGA grant through the MAXIS computer system as a caretaker, or an applicant whose AFDC or FGA application was denied or benefits were terminated due to noncompliance with work first requirements.

(d) "Application date" means the date any Minnesota county agency receives a signed and dated CAF Part I.

(e) "CAF" means a combined application form on which people apply for multiple assistance programs including: aid to families with dependent children, refugee cash assistance, general assistance, work readiness, Minnesota supplemental aid, food stamps, medical assistance, general assistance medical care, emergency assistance, emergency medical assistance, and emergency general assistance medical care.

(f) "Caretaker" means a parent or eligible adult, including a pregnant woman, who is part of the assistance unit that has applied for or is receiving an AFDC or FGA grant.

(g) "Child support" means a voluntary or court-ordered payment by absent parents in an assistance unit.

(h) "Commissioner" means the commissioner of human services.

(i) "Department" means the department of human services.

(j) "Employability development plan" or "EDP" means a plan developed by the applicant, with advice from the employment advisor, for the purposes of identifying an employment goal, improving work skills through certification or education, training or skills recertification, and which addresses barriers to employment.

(k) "EDP status report form" means a program form on which deferred participants indicate what has been achieved in the participant's EDP and the types of problems encountered.

(l) "Employment advisor" means a program staff who is qualified to assist the participant to develop a job search or employability development plan, match the participant with existing job openings, refer the participant to employers, and has an extensive knowledge of employers in the area.

(m) "Financial specialist" means a program staff who is trained to explain the benefits offered under the program, determine eligibility for different assistance programs, and broker other resources from employers and the community.

(n) "Job network" means people that a person may contact to learn more about particular companies, inquire about job leads, or discuss one's occupational interests and expertise.

(o) "Job search allowance" means the amount of financial assistance needed to support job search.

(p) "Job search plan" or "JSP" means the specific plan developed by the applicant, with advice from the employment advisor, to secure a job as soon as possible, and focus the scope of the search process and other activities. Under the work first program, a job search plan shall meet the requirements for an EDP under section 256.736, subdivision 10, paragraph (a), clause (15).

(q) "JSP status report form" means a program form on which participants indicate the number of submitted job applications, job interviews held, jobs offered, other outcomes achieved, problems encountered, and the total number of hours spent on job search per week.

(r) "Participant" means a recipient who is required to participate in the work first program.

(s) "Program" means the work first program.

(t) "Provider" means a legal entity responsible for the administration of the work first program including transitional benefits.

(u) "Self-employment" means employment where people work for themselves rather than an employer, are responsible for their own work schedule, and do not have taxes or FICA withheld by an employer.

(v) "Self-sufficiency agreement" means the agreement between the provider or its representative and the applicant that describes the activities that the applicant must conduct and the necessary services and aid to be furnished by the provider to enable the individual to meet the purpose of either the JSP or EDP.

(w) "Subsidized job" means a job that is partly reimbursed by the provider for cost of wages for participants in the program.

Subd. 3. [ESTABLISHING WORK FIRST PROGRAM.] The commissioners of human services and economic security shall develop and establish a pilot project which requires applicants for aid under AFDC under section 256.72, or general assistance program (FGA) under section 256D.05, subdivision 1, clause (15), in Clay and Itasca counties to meet the requirements of the work first program. The purpose of the program is to:

(1) ensure that the participant is working as early as possible;

(2) promote greater opportunity for economic self-support, participation, and mobility in the work force; and

(3) minimize the risk for long-term welfare dependency.

Subd. 4. [PROGRAM ADMINISTRATION.] The program must be administered in a way that, in addition to the county agency, other sectors in the community such as employers from the public and private sectors, not-for-profit organizations, educational and social service agencies, labor unions, and neighborhood associations are involved.

Subd. 5. [PROGRAM DESIGN.] The program shall meet the following principles:

(1) work is the primary means of economic support;

(2) the individuals's potential is reviewed during the application process to determine how to approach the job market aggressively;

(3) public aid such as cash and medical assistance, child care, child support assurance, and other cash benefits are used to support intensive job search and immediate work; and

(4) maximum use is made of tax credits to supplement income.

Subd. 6. [WAIVER REQUESTS.] The department shall request all waivers as soon as possible to implement the program by July 1, 1996, or as soon as possible thereafter, provided that all conditions are met under section 256.01, subdivision 2, clause (12). Upon obtaining all waivers, the department shall amend the state plans for the AFDC and the Jobs Opportunities and Basic Skills Program (JOBS), and Supportive Services plan to coordinate these programs under the work first program for the pilot counties, and shall seek approval of state plan amendments. The department shall request all waivers from federal statutes and regulations to qualify the program as a federally approved demonstration project under section 1115 of the Social Security Act.

Subd. 7. [DUTIES OF COMMISSIONER.] In addition to any other duties imposed by law, the commissioner shall:

(1) request all waivers to implement the program by July 1, 1996, or as soon as possible thereafter;

(2) establish the program according to sections 256.7351 to 256.7359 and allocate money to pilot counties participating in the program;

(3) provide systems development and staff training;

(4) accept and supervise the disbursement of any funds that may be provided from other sources for use in the demonstration program; and

(5) direct a study to safeguard the interests of children.

Subd. 8. [DUTIES OF COUNTY AGENCY.] The county agency shall:

(1) collaborate with the commissioners of human services and economic security and other agencies to develop, implement, and evaluate the demonstration of the work first program;

(2) operate the work first program in partnership with private and public employers, local industry councils, labor unions, and employment, educational, and social service agencies and according to subdivision 4;

(3) ensure that program components such as client orientation, immediate job search, job development, creation of temporary public service jobs, job placements, and post placement follow-up are implemented according to the work first program; and

(4) for job assignments under section 256.7355 provide written notification to and obtain the written concurrence of the appropriate exclusive bargaining representatives with respect to job duties covered under collective bargaining agreements and ensure that no work assignment under this section results in: (i) termination, layoff, or reduction of the work hours of an employee for the purpose of hiring an individual under this section; (ii) the hiring of an individual if any other person is on layoff from the same or a substantially equivalent job; (iii) any infringement of the promotional opportunities of any currently employed individual; (iv) the impairment of existing contract for services of collective bargaining agreements; or (v) a participant filling an established unfilled position vacancy, except for on-the-job training under this section. If there is a dispute between an exclusive bargaining representative and a county or public work employer over whether or not job duties are covered under a collective bargaining agreement, the exclusive bargaining representative, the county, or the public works employer may petition the bureau of mediation services, who shall determine if the job duties are covered by a collective bargaining agreement.

Subd. 9. [DUTIES OF PARTICIPANT.] To be eligible for the work first program, a participant shall cooperate with the county agency, the provider, and the participant's employer in all aspects of the program.

Sec. 2. [256.7352] [PROGRAM PARTICIPANTS; PROGRAM EXPECTATIONS.]

All applicants selected for participation are expected to meet the requirements under the work first program. Payments for rent and utilities up to the AFDC or FGA grant amount for the household size will be vendor paid for up to six months.

Sec. 3. [256.7353] [PROGRAM REQUIREMENTS.]

Subdivision 1. [NOTIFICATION OF PROGRAM.] Except for the provisions in this section, the provisions for AFDC and FGA application process shall be followed. Within two days after the receipt of a completed combined application form, the county agency must refer to the provider the applicant who meets the conditions under section 256.7352, and notify the applicant in writing of the program including the following provisions:

(1) notification that, as part of the application process, applicants are required to attend orientation, to be followed immediately by a job search;

(2) the program provider, the date, time, and location of the scheduled program orientation;

(3) the procedures for qualifying for and receiving benefits under the program;

(4) the immediate availability of supportive services, including, but not limited to, child care, transportation, medical assistance, and other work-related aid; and

(5) the rights, responsibilities, and obligations of participants in the program, including, but not limited to, the grounds for exemptions and deferrals, the consequences for refusing or failing to participate fully, and the appeal process.

Subd. 2. [PROGRAM ORIENTATION.] The provider must give a face-to-face orientation regarding the program to the applicant within five days after the date of application. The orientation must be designed to inform the applicant of:

(1) the importance of locating and obtaining a job as soon as possible;

(2) that benefits shall be provided to support work;

(3) the manner by which benefits shall be paid;

(4) how other supportive services such as medical assistance, child care, transportation, and other work-related aid shall be available to support job search and work;

(5) the consequences for failure without good cause to comply with program requirements; and

(6) the appeal process.

Subd. 3. [JOB SEARCH PLAN; EMPLOYMENT ADVISOR; FINANCIAL SPECIALIST.] At the end of orientation, the provider must assign an employment advisor and a financial specialist to the applicant. With advice from the employment advisor, the applicant must develop a job search plan (JSP) based on existing job markets, prior employment, work experience, and transferable work skills, unless exempt under subdivision 5. A job search must be planned and conducted for a period of up to eight consecutive weeks from the date of application and for at least 32 hours per week. The types of and target number of job openings to be pursued per week must be written in the job search plan. The following activities may be included in the job search plan:

(1) motivational counseling;

(2) job networking or training on how to locate job openings;

(3) development of a personal resume; and

(4) information on how to conduct job interviews and establish a personal job network.

Following the development of the JSP or the employability development plan (EDP) under subdivision 9, the financial specialist must interview the applicant to determine eligibility for and the extent of benefits under sections 256.7356 and 256.7357 to support the job search or employability development plan. The provider must attach to the appropriate plan the summary of the necessary enabling services and benefits to be furnished by the provider. The provider or its representative and the applicant must sign the plan, with its attachment, to indicate a self-sufficiency agreement between the provider and the participant.

Subd. 4. [IMMEDIATE JOB SEARCH.] An applicant must be required to begin job search within seven days after the date of application for at least 32 hours per week for up to eight weeks, unless exempted under subdivision 5 or deferred under subdivision 9. Within the first five days of job search, the applicant is required to initiate informational contacts with prospective employers, generate additional job leads from the job network, review references and experiences from previous employment, and carry out the other activities under the job search plan developed under subdivision 3.

Subd. 5. [EXEMPTION CATEGORIES.] The applicant will be exempted from the job search requirements and development of JSP and EDP under subdivisions 3, 4 and 8 if the applicant belongs to any of the following groups:

(1) caretakers under age 20 who have not completed a high school education and are attending high school on a full-time basis;

(2) individuals who are age 60 or older;

(3) individuals who are suffering from a professionally certified permanent or temporary illness, injury, or incapacity which is expected to continue for more than 30 days and which prevents the person from obtaining or retaining employment;

(4) caretakers whose presence in the home is needed because of illness or incapacity of another member in the household;

(5) women who are pregnant, if it has been medically verified that the child is expected to be born within the next six months;

(6) caretakers or other caretaker relatives of a child under the age of three who personally provide full-time care for the child;

(7) individuals employed at least 30 hours per week;

(8) individuals for whom participation would require a round trip commuting time by available transportation of more than two hours, excluding transporting of children for child care;

(9) individuals for whom lack of proficiency in English is a barrier to employment, provided such individuals are participating in an intensive program which lasts no longer than six months and is designed to remedy their language deficiency; individuals who, because of advanced age or lack of ability, are incapable of gaining proficiency in English, as determined by the county social worker, shall continue to be exempt under this subdivision and are not subject to the requirement that they be participating in a language program;

(10) individuals under such duress that they are incapable of participating in the program, as determined by the county social worker; or

(11) individuals in need of refresher courses for purposes of obtaining professional certification or licensure.

Subd. 6. [AFDC-UP APPLICANTS.] All applicants defined in section 256.73 subdivision 3a, clause (6), who may be eligible under the AFDC-UP program will be required to meet the requirements in the community work experience program under section 256.737, instead of the requirements in subdivisions 4 to 14.

Subd. 7. [COUNTY DUTIES.] The county must act on the application within 30 days of the application date. If the applicant is not eligible, the application will be denied and the county must notify the applicant of the denial in writing. An applicant whose application has been denied may be allowed to complete the job search plan; however, supportive services will not be provided.

Subd. 8. [JOB SEARCH STATUS REPORT.] The applicant or participant must submit a completed JSP status report form to the employment advisor every two weeks during the job search process, with the first completed form due 21 days after the date of application.

Subd. 9. [EMPLOYABILITY DEVELOPMENT PLAN.] At the discretion and approval of the employment advisor, the applicant may be deferred from the requirement to conduct at least 32 hours of job search per week for up to eight consecutive weeks, if during the development of the job search plan, the applicant is determined to:

(1) not have worked within the past 12 months and not have a high school or a general equivalency diploma provided the applicant agrees to develop and carry out an EDP instead of job search, and concurrently work for at least 16 hours per week in a temporary public service job. The EDP must include the employment goals and specific outcomes the participant must achieve; or

(2) be within six months of completing any post-secondary training program, provided that the applicant agrees to develop and carry out an EDP instead of a job search, and concurrently work for a minimum number of hours per week in a temporary public service job. The EDP must include the employment goal and specific outcomes that the participant must achieve. The applicant that is deferred under this subdivision may choose to work in a job other than a public service job for a minimum number of hours per week rather than in a temporary public service job. For individuals who are participating in an educational program under this paragraph and who are attending school full time as determined by the institution there is no work requirement.

For individuals participating in an educational program on a part-time basis as determined by the institution, the minimum number of hours that a participant must work shall be decreased as the participant increases the number of credit hours taken, except that the participant shall not be required to work more than eight hours per week.

During vacation periods of one month or more, the 16-hour per week minimum work requirement shall apply.

The applicant may be deferred for up to six months. At the end of the deferment period, the participant must develop a job search plan and conduct at least 32 hours of job search per week for up to eight consecutive weeks, and submit reports as required under subdivisions 3 and 4.

Subd. 10. [EDP STATUS REPORT.] The participant who is deferred from job search under subdivision 9 must submit a completed EDP status report form to the employment advisor every 14 days as long as the participant continues to be deferred, with the first completed form due 21 days after the date of application.

Subd. 11. [JOB OFFER.] The participant must not refuse any job offer, provided that the job is within the participant's physical and mental abilities, pays hourly gross wages of not less than the applicable state or federal minimum wage, and meets health and safety standards set by federal, state, and local agencies. If a job is offered, the participant must inform the provider immediately to redetermine eligibility for and extent of benefits and services to support work. To enhance job retention, the provider may provide services such as motivational counseling or on-site problem solving for up to six months. The participant who has completed at least six months of work in a nonsubsidized job shall be encouraged to participate in a training program that would improve the participant's ability to obtain a job that pays a higher wage.

Subd. 12. [DUTY TO REPORT.] The participant must immediately inform the provider regarding any changes related to the participant's employment status.

Subd. 13. [REQUIREMENT TO WORK IN A TEMPORARY PUBLIC SERVICE JOB.] (a) If after the completion of the maximum eight weeks of job search the participant has failed to secure a nonsubsidized or a subsidized job for at least 32 hours per week, or does not earn a net income from self-employment that is equal to at least the AFDC or FGA monthly grant for the household size, whichever is applicable, the participant is required to work in a temporary public service job for up to 67 working days for (1) at least 32 hours per week, or (2) a period equivalent to the result of dividing the AFDC or FGA grant amount which the participant would otherwise receive, whichever is applicable, by the federal hourly minimum wage, or applicable hourly state minimum wage, or the hourly rate of pay for individuals employed in the same occupation at the site, whichever is highest. If the result is more than 128 hours per month, the participant's requirement to work in a temporary public service job shall not be more than 32 hours per week.

(b) Within seven days from the date of application, the participant that is deferred under subdivision 9, clause (1) or (2), and is participating in an educational program on a part-time basis must work in a temporary public service job as required under subdivision 9, clause (2).

(c) The provider shall strive to match the profile of the participant with the needs of the employers that are participating in a temporary jobs program under section 256.7355.

Subd. 14. [TERMINATION OF WORK ASSIGNMENT.] If after 67 working days in a temporary public service job, under subdivision 13, paragraph (a), the participant has not secured a nonsubsidized job, the employer must terminate the work assignment and inform the county or the provider. The county or provider must briefly assess the participant's status and refer the participant to other work and training programs.

Sec. 4. [256.7354] [JOB DEVELOPMENT AND SUBSIDY.]

Subdivision 1. [JOB INVENTORY.] The provider must develop an inventory of job openings including full-time, part-time, permanent, temporary or seasonal, and training positions, in partnership with private and public employers, local industry councils, and employment agencies. To the extent possible, the inventory must include specific information regarding job openings, must be updated on a weekly basis, and must be available to all participants on a daily basis.

Subd. 2. [JOB SUBSIDY.] The county may use all or part of AFDC or FGA benefits as a subsidy to employers for the purpose of providing work experience or training to the participant who has completed the job search plan, provided that (1) the job to be subsidized is permanent and full time, and pays an hourly rate of at least $6 per hour; (2) the employer agrees to retain the participant after satisfactory completion of the work experience or training period; and (3) the participant has first tried to secure a nonsubsidized job by following the job search plan. The subsidy may be available for up to six months.

Sec. 5. [256.7355] [TEMPORARY JOBS PROGRAM.]

Subdivision 1. [PROGRAM ESTABLISHED.] The provider must establish and operate a program to provide temporary jobs to participants who, after eight weeks of job search, are not hired into a nonsubsidized or a subsidized job, or are deferred under section 256.7353, subdivision 9. The temporary jobs to be created under this section must be public service jobs that serve a useful public service such as: health, social service, environmental protection, education, urban and rural development and redevelopment, welfare, recreation, public facilities, public safety, community service, services to the aged or disabled citizens, and child care.

Subd. 2. [ASSIGNMENT TO TEMPORARY PUBLIC SERVICE JOBS.] The provider must assign the participant that is within completion of the required eight weeks of job search and has failed to secure a nonsubsidized or a subsidized job for at least 32 hours per week, or does not earn a net income from self-employment that is equal to at least the AFDC or FGA monthly grant for the household size, whichever is applicable, to a temporary public service job. The assignment must be made seven days before the end of the job search and be based on section 256.7353, subdivision 13. The participant that is deferred under section 256.7353, subdivision 9, will be assigned by the provider to a temporary public service job within seven days after the application.

Subd. 3. [PARTICIPANT'S STATUS.] The participant who is working in a temporary public service job under this section is not considered an employee for the purposes of unemployment insurance compensation, retirement, or civil service laws, and shall not perform work ordinarily performed by a public employee.

Subd. 4. [CONTINUOUS JOB SEARCH REQUIREMENT.] At the discretion of the employer or the provider, the participant who is working in a temporary public service job under section 256.7353, subdivision 13, may be required to continue to look for a job for up to eight hours per week.

Subd. 5. [EXCUSED ABSENCES.] The participant who is working in a temporary public service job may be allowed excused absences from the assigned temporary job site up to eight hours per month. For the purposes of this subdivision, "excused absence" means absence due to temporary illness or injury of the caretaker or a member of the caretaker's family, the unavailability of licensed child care or unavailability of transportation needed to go to and from the work site, a job interview, or a nonmedical emergency. For the purposes of this subdivision, "emergency" means a sudden, unexpected occurrence or situation of a serious or urgent nature that requires action.

Sec. 6. [256.7356] [TRANSITIONAL BENEFITS TO SUPPORT WORK; RENT AND UTILITIES VENDOR PAYMENT.]

Payments for rent and utilities up to the amount of AFDC or FGA benefits to which the assistance unit is entitled shall be provided in the form of vendor payments for as many months as the applicant is eligible or six months, whichever comes first. This provision shall apply to all applicants including those meeting the exemption categories under section 256.7353, subdivision 5, or deferral categories under section 256.7353, subdivision 9. To the extent needed, a job search allowance shall be provided for up to eight weeks to cover expenses related to the job search. Before the job search allowance is issued, it must be approved by the employment advisor and financial specialist, and clearly described in the job search.

Sec. 7. [256.7357] [ELIGIBILITY FOR FOOD STAMPS, MEDICAL ASSISTANCE, AND CHILD CARE.]

The participant shall be treated as an AFDC or FGA recipient for food stamps, medical assistance, and child care eligibility purposes. As with an AFDC recipient, the participant who leaves the program as a result of increased earnings from employment shall be eligible for transitional medical assistance and child care.

Sec. 8. [256.7358] [SANCTIONS AND APPEAL PROCESS.]

Subdivision 1. [GOOD CAUSE.] (a) For the purpose of this subdivision, "good cause" means absence due to temporary illness or injury of the participant or a member of the participant's family; the unavailability of licensed child care or transportation needed to attend orientation or conduct job search; or a nonmedical emergency as defined under section 256.7353, subdivision 5.

(b) The applicant who is required, but fails, without good cause, to participate in orientation, complete the JSP or EDP, and comply with the job search requirements under section 256.7353 prior to being eligible for AFDC or FGA shall be denied AFDC or FGA benefits.

(c) Following participation in the orientation, completion of JSP or EDP and participation in job search under section 256.7353, but before being determined eligible for AFDC or FGA recipients in AFDC-UP cases who are subject to the vendor payment provisions under section 256.7356 are subject to the job search, work experience, and sanction provisions of sections 256.736, subdivision 14, and 256.737 and not the job search and work provisions under work first.

(d) If, after receiving a written warning from the county, the participant fails without good cause, to conduct at least 32 hours of job search per week in any given two-week period, the participant will be immediately required to work for at least 16 hours per week in a temporary public service job. The required 32 hours per week of job search will be reduced to 16 hours.

(e) If the participant who is deferred under section 256.7353, subdivision 9, fails to comply with the activities described in the EDP, the participant will lose the deferment status, provided that the participant has received at least two written warnings from the provider.

(f) If the participant refuses to work in a temporary public service job, or is terminated from a temporary public service job for failure to work, benefits to the assistance unit shall be terminated and the participant shall not be eligible to apply for aid under the AFDC or FGA program or the work first program for at least six months from the date of refusal or termination. If the participant before completing at least four consecutive months of employment voluntarily quits or is terminated from a nonsubsidized or a subsidized job, the participant shall immediately be assigned to work in a temporary public service job for at least 32 hours per week for up to 67 working days unless the participant is hired or rehired into a nonsubsidized or subsidized job.

Subd. 2. [NOTICE OF SANCTIONS.] If the county determines that the participant has failed or refused without good cause as defined in subdivision 1, to cooperate with the program requirements, the county shall inform the participant in writing of its intent to impose an applicable sanction listed under subdivision 1 and the opportunity to have a conciliation conference upon request and within five days of receipt of the notice before a sanction is imposed.

Sec. 9. [256.7359] [FUNDING.]

Subdivision 1. [BLOCK GRANT.] A block grant to fund the entire program including, but not limited to, the costs for program administration and provision of cash benefits and program services including the entire costs of vendor payments made on behalf of clients and the entire cost of the temporary jobs program, will be paid to the county agency or provider participating in the work first program. Counties may request additional funds if there are unexpected increases in caseload.

Subd. 2. [LEVERAGING GRANT AMOUNT TO SECURE OTHER FUNDS.] The county agency or the provider in cooperation with the department may leverage the grant amount to secure other funds from employers, foundations, and the community for the purpose of developing additional components to benefit children and improve the program.

Subd. 3. [EMPLOYER REIMBURSEMENT.] The employer shall be reimbursed for wages paid to participants under section 256.7354, subdivision 2.

Sec. 10. [APPROPRIATION; WORK FIRST PROGRAM.]

$2,383,000 is appropriated from the general fund to the commissioner of human services for the biennium ending June 30, 1997, for purposes of implementing sections 1 to 9.

(a) Of this sum, $1,055,000 is appropriated for the child care costs associated with the work first program.

(b) Of this sum, $1,328,000 is appropriated for the employment and training costs associated with the work first program.

Section 1. Minnesota Statutes 1994, section 256D.05, subdivision 1, is amended to read:

Subdivision 1. [ELIGIBILITY.] (a) Each person or family whose income and resources are less than the standard of assistance established by the commissioner and who is a resident of the state shall be eligible for and entitled to general assistance if the person or family is:

(1) a person who is suffering from a professionally certified permanent or temporary illness, injury, or incapacity which is expected to continue for more than 30 days and which prevents the person from obtaining or retaining employment;

(2) a person whose presence in the home on a substantially continuous basis is required because of the professionally certified illness, injury, incapacity, or the age of another member of the household;

(3) a person who has been placed in, and is residing in, a licensed or certified facility for purposes of physical or mental health or rehabilitation, or in an approved chemical dependency domiciliary facility, if the placement is based on illness or incapacity and is pursuant to a plan developed or approved by the county agency through its director or designated representative;

(4) a person who resides in a shelter facility described in subdivision 3;

(5) a person not described in clause (1) or (3) who is diagnosed by a licensed physician, psychological practitioner, or other qualified professional, as mentally retarded or mentally ill, and that condition prevents the person from obtaining or retaining employment;

(6) a person who has an application pending for, or is appealing termination of benefits from, the social security disability program or the program of supplemental security income for the aged, blind, and disabled, provided the person has a professionally certified permanent or temporary illness, injury, or incapacity which is expected to continue for more than 30 days and which prevents the person from obtaining or retaining employment;

(7) a person who is unable to obtain or retain employment because advanced age significantly affects the person's ability to seek or engage in substantial work;

(8) a person who, following participation in the work readiness program, completion of an individualized employability assessment by the work readiness service provider, and consultation between the county agency and the work readiness service provider, the work readiness service provider determines is not employable. has been assessed by a vocational specialist and, in consultation with the county agency, has been determined to be unemployable for purposes of this item, a person is considered employable if the county agency determines that there exist positions of employment in the local labor market, regardless of the current availability of openings for those positions, that the person is capable of performing. The person's eligibility under this category must be reassessed at least annually by the county agency and must be based upon the results of a new individualized employability assessment completed by the work readiness service provider. The recipient shall, if otherwise eligible, continue to receive general assistance while the annual individualized employability assessment is completed by the work readiness service provider, rather than receive work readiness payments under section 256D.051. Subsequent eligibility for general assistance is dependent upon the county agency determining, following consultation with the work readiness service provider, that the person is not employable, or the person meeting the requirements of another general assistance category of eligibility;. The county agency must provide notice to the person not later than 30 days before annual eligibility under this item ends, informing the person of the date annual eligibility will end and the need for vocational assessment if the person wishes to continue eligibility under this clause. For purposes of establishing eligibility under this clause, it is the applicant's or recipient's duty to obtain any needed vocational assessment;

(9) a person who is determined by the county agency, in accordance with emergency and permanent rules adopted by the commissioner, to be learning disabled, provided that if a rehabilitation plan for the person is developed or approved by the county agency, the person is following the plan;

(10) a child under the age of 18 who is not living with a parent, stepparent, or legal custodian, but only if: the child is legally emancipated or living with an adult with the consent of an agency acting as a legal custodian; the child is at least 16 years of age and the general assistance grant is approved by the director of the county agency or a designated representative as a component of a social services case plan for the child; or the child is living with an adult with the consent of the child's legal custodian and the county agency. For purposes of this clause, "legally emancipated" means a person under the age of 18 years who: (i) has been married; (ii) is on active duty in the uniformed services of the United States; (iii) has been emancipated by a court of competent jurisdiction; or (iv) is otherwise considered emancipated under Minnesota law, and for whom county social services has not determined that a social services case plan is necessary, for reasons other than that the child has failed or refuses to cooperate with the county agency in developing the plan;

(11) a woman in the last trimester of pregnancy who does not qualify for aid to families with dependent children. A woman who is in the last trimester of pregnancy who is currently receiving aid to families with dependent children may be granted emergency general assistance to meet emergency needs;

(12) a person who is eligible for displaced homemaker services, programs, or assistance under section 268.96, but only if that person is enrolled as a full-time student;

(13) a person who lives more than two hours round-trip traveling time from any potential suitable employment;

(14) a person who is involved with protective or court-ordered services that prevent the applicant or recipient from working at least four hours per day;

(15) (i) a family as defined in section 256D.02, subdivision 5, which is ineligible for the aid to families with dependent children program. If all children in the family are six years of age or older, or if suitable child care is available for children under age six at no cost to the family, all the adult members of the family must register for and cooperate in the work readiness program under section 256D.051. If one or more of the children is under the age of six and suitable child care is not available without cost to the family, all the adult members except one adult member must register for and cooperate with the work readiness program under section 256D.051. The adult member who must participate in the work readiness program is the one having earned the greater of the incomes, excluding in-kind income, during the 24-month period immediately preceding the month of application for assistance. When there are no earnings or when earnings are identical for each adult, the applicant must designate the adult who must participate in work readiness and that designation must not be transferred or changed after program eligibility is determined as long as program eligibility continues without an interruption of 30 days or more. The adult members required to register for and cooperate with the work readiness program are not eligible for financial assistance under section 256D.051, except as provided in section 256D.051, subdivision 6, and shall be included in the general assistance grant. If an adult member fails to cooperate with requirements of section 256D.051, the local agency shall not take that

member's needs into account in making the grant determination as provided by the termination provisions of section 256D.051, subdivision 1a, paragraph (b). The time limits of section 256D.051, subdivision 1, do not apply to persons eligible under this clause; (ii) unless all adults in the family are exempt under section 256D.051, subdivision 3a, one adult in the family must participate in and cooperate with the food stamp employment and training program under section 256D.051 each month that the family receives general assistance benefits. If the household contains more than one nonexempt adult, the adults may determine which adult must participate. The designation may be changed once annually at the annual redetermination of eligibility. If no designation is made or if the adults cannot agree, the county agency shall designate the adult having earned the greater of the incomes, including in-kind income, during the 24-month period immediately preceding the month of application for general assistance, as the adult that must participate. When there are no earnings or when earnings are identical for each adult, the county agency shall designate which adult must participate. The recipient's participation must begin on the first day of the first full month following the determination of eligibility for general assistance benefits. To the extent of available resources, and with the county agency's consent, the recipient may voluntarily continue to participate in food stamp employment and training services for up to three additional consecutive months immediately following termination of general assistance benefits in order to complete the provisions of the recipient's employability development plan. If the adult member fails without good cause to participate in or cooperate with the food stamp employment and training program, the county agency shall concurrently terminate that person's eligibility for general assistance and food stamps for two months or until compliance is achieved, whichever is shorter, using the notice, good cause, conciliation and termination procedures specified in section 256D.051; or

(16) a person over age 18 whose primary language is not English and who is attending high school at least half time.

(b) Persons or families who are not state residents but who are otherwise eligible for general assistance may receive emergency general assistance to meet emergency needs.

(c) As a condition of eligibility under paragraph (a), clauses (1), (3), (5), (8), and (9), the recipient must complete an interim assistance agreement and must apply for other maintenance benefits as specified in section 256D.06, subdivision 5, and must comply with efforts to determine the recipient's eligibility for those other maintenance benefits.

(d) The burden of providing documentation for a county agency to use to verify eligibility for general assistance or work readiness for exemption from the food stamp employment and training program is upon the applicant or recipient. The county agency shall use documents already in its possession to verify eligibility, and shall help the applicant or recipient obtain other existing verification necessary to determine eligibility which the applicant or recipient does not have and is unable to obtain.

Sec. 2. Minnesota Statutes 1994, section 256D.051, subdivision 1, is amended to read:

Subdivision 1. [WORK REGISTRATION FOOD STAMP EMPLOYMENT AND TRAINING PROGRAM.] (a) Except as provided in this subdivision, persons who are residents of the state and whose income and resources are less than the standard of assistance established by the commissioner, but who are not categorically eligible under section 256D.05, subdivision 1, are eligible for the work readiness program for The commissioner shall implement a food stamp employment and training program in order to meet the food stamp employment and training participation requirements of the United States Department of Agriculture. Unless all adult members of the food stamp household are exempt under subdivision 3a, one nonexempt adult recipient in each household must participate in the food stamp employment and training program each month that the household is eligible for food stamps, up to a maximum period of six calendar months during any 12 consecutive calendar month period, subject to the provisions of paragraph (d), subdivision 3, and section 256D.052, subdivision 4. If the household contains more than one nonexempt adult, the adults may determine which adult must participate. The designation may be changed only once annually at the annual redetermination of eligibility. If no designation is made or if the adults cannot agree, the county agency shall designate the adult having earned the greater of the incomes, including in-kind income, during the 24-month period immediately preceding the month of application for food stamp benefits, as the adult that must participate. When there are no earnings or when earnings are identical for each adult, the county agency shall designate the adult that must participate. The person's eligibility period begins participation in food stamp employment and training services must begin on the first day of the calendar month following the date of application eligibility for assistance or following the date all eligibility factors are met, whichever is later; however, food stamps. With the county agency's consent, and to the extent of available resources, the person may voluntarily continue to participate in work readiness food stamp employment and training services for up to three additional consecutive months immediately following the last month of benefits end of the six-month mandatory participation period in order to complete the provisions of the person's employability development plan. After July 1, 1992, if orientation is available within three weeks after the date eligibility is determined, initial payment will not be made until the

registrant attends orientation to the work readiness program. Prior to terminating work readiness assistance the county agency must provide advice on the person's eligibility for general assistance medical care and must assess the person's eligibility for general assistance under section 256D.05 to the extent possible, using information in the case file, and determine the person's eligibility for general assistance. A determination that the person is not eligible for general assistance must be stated in the notice of termination of work readiness benefits.

(b) Persons, families, and married couples who are not state residents but who are otherwise eligible for work readiness assistance may receive emergency assistance to meet emergency needs.

(c) Except for family members who must participate in work readiness services under the provisions of section 256D.05, subdivision 1, clause (15), any person who would be defined for purposes of the food stamp program as being enrolled or participating at least half-time in an institution of higher education or a post-secondary program is ineligible for the work readiness program. Post-secondary education does not include the following programs: (1) high school equivalency; (2) adult basic education; (3) English as a second language; (4) literacy training; and (5) skill-specific technical training that has a course of study of less than three months, that is not paid for using work readiness funds, and that is specified in the work readiness employability development plan developed with the recipient prior to the recipient beginning the training course.

(d) Notwithstanding the provisions of sections 256.045 and 256D.10, during the pendency of an appeal, work readiness payments and services shall not continue to a person who appeals the termination of benefits due to exhaustion of the period of eligibility specified in paragraph (a) or (d).

Sec. 3. Minnesota Statutes 1994, section 256D.051, subdivision 1a, is amended to read:

Subd. 1a. [WORK READINESS PAYMENTS NOTICES; CONCILIATION CONFERENCE; SANCTIONS.] (a) Except as provided in this subdivision, grants of work readiness shall be determined using the standards of assistance, exclusions, disregards, and procedures which are used in the general assistance program. Work readiness shall be granted in an amount that, when added to the nonexempt income actually available to the assistance unit, the total amount equals the applicable standard of assistance.

(b) Except as provided in section 256D.05, subdivision 6, work readiness assistance must be paid on the first day of each month.

At the time the county agency notifies the assistance unit household that it is eligible for family general assistance or work readiness assistance and by the first day of each month of services food stamps, the county agency must inform all mandatory registrants employment and training services participants as identified in subdivision 1 in the assistance unit household that they must comply with all work readiness food stamp employment and training program requirements that each month, including the requirement to attend an initial orientation to the food stamp employment and training program and that work readiness food stamp eligibility will end at the end of the month unless the registrants participants comply with work readiness the requirements specified in the notice. A registrant who fails, without good cause, to comply with requirements during this time period, including attendance at orientation, will lose family general assistance or work readiness eligibility without notice under section 256D.101, subdivision 1, paragraph (b). The registrant shall, however, be sent a notice no later than five days after eligibility ends, which informs the registrant that family general assistance or work readiness eligibility has ended in accordance with this section for failure to comply with work readiness requirements. The notice shall set forth the factual basis for such determination and advise the registrant of the right to reinstate eligibility upon a showing of good cause for the failure to meet the requirements. Subsequent assistance must not be issued unless the person completes an application, is determined eligible, and complies with the work readiness requirements that had not been complied with, or demonstrates that the person had good cause for failing to comply with the requirement. The time during which the person is ineligible under these provisions is counted as part of the person's period of eligibility under subdivision 1.

(c) Notwithstanding the provisions of section 256D.01, subdivision 1a, paragraph (d), when one member of a married couple has exhausted the five months of work readiness eligibility in a 12-month period and the other member has one or more months of eligibility remaining within the same 12-month period, the standard of assistance applicable to the member who remains eligible is the first adult standard in the aid to families with dependent children program.

(d) Notwithstanding sections 256.045 and 256D.10, during the pendency of an appeal, work readiness payments and services shall not continue to a person who appeals the termination of benefits under paragraph (b).

(b) A participant who fails without good cause to comply with food stamp employment and training program requirements of this section, including attendance at orientation, will lose food stamp eligibility for two months or until the county agency determines that the participant has complied with the program requirements, whichever is shorter. If the participant is not the head of household, the person shall be considered an ineligible household member for food stamp purposes. If the participant is the head of household, the entire household is ineligible to participate as provided in Code of Federal Regulations, title 7, section 273.7(g). "Good cause" means circumstances beyond the control of the participant, such as illness or injury, illness or injury of another household member requiring the participant's presence, a household emergency, or the inability to obtain child care for children between the ages of six and 12 or to obtain transportation needed in order for the participant to meet the food stamp employment and training program participation requirements.

(c) The county agency shall mail or hand deliver a notice to the participant not later than five days after determining that the participant has failed without good cause to comply with food stamp employment and training program requirements which specifies the requirements that were not complied with, the factual basis for the determination of noncompliance, the right to reinstate eligibility upon a showing of good cause or the failure to meet the requirements, must ask the reason for the noncompliance, and must identify the participant's appeal rights. The notice must request that the participant inform the county agency if the participant believes that good cause existed for the failure to comply, must offer the participant a conciliation conference as provided in paragraph (d), and must state that the county agency intends to terminate eligibility for food stamp benefits due to failure to comply with food stamp employment and training program requirements.

(d) The county agency must offer a conciliation conference to participants who have failed to comply with food stamp employment and training program requirements. The purpose of the conference is to determine the cause for noncompliance, to attempt to resolve the problem causing the noncompliance so that all requirements are complied with, and to determine if good cause for noncompliance was present. The conciliation period shall run for ten working days from the date of the notice required in paragraph (c). Information about how to request a conciliation conference must be specified in the notice required in paragraph (c). If the county agency determines that the participant, during the conciliation period, complied with all food stamp employment and training program requirements that the recipient was required to comply with prior to and during the conciliation period, or if the county agency determines that good cause for failing to comply with the requirements was present, a sanction on the participant's or household's food stamp eligibility shall not be imposed.

(e) If the county agency determines that the participant did not comply during the conciliation period with all food stamp employment and training program requirements that were in effect prior to and during the conciliation period, and if the county agency determines that good cause was not present, the county must provide a ten-day notice of termination of food stamp benefits. The termination notice must be issued following the last day of the conciliation period. The amount of food stamps that are withheld from the household and determination of the impact of the sanction on other household members is governed by Code of Federal Regulations, title 7, section 273.7.

(f) The participant may appeal the termination of food stamp benefits under the provisions of section 256.045.

Sec. 4. Minnesota Statutes 1994, section 256D.051, subdivision 2, is amended to read:

Subd. 2. [COUNTY AGENCY DUTIES.] (a) The county agency shall provide to registrants food stamp recipients a work readiness food stamp employment and training program. The work readiness program must include:

(1) orientation to the work readiness food stamp employment and training program;

(2) an individualized employability assessment and an individualized employability development plan that includes assessment of literacy, ability to communicate in the English language, educational and employment history, and that estimates the length of time it will take the registrant participant to obtain employment. The employability assessment and development plan must be completed in consultation with the registrant participant, must assess the registrant's participant's assets, barriers, and strengths, and must identify steps necessary to overcome barriers to employment. A copy of the employability development plan must be provided to the registrant;

(3) referral to available accredited remedial or skills training programs designed to address registrant's participant's barriers to employment;

(4) referral to available programs including the Minnesota employment and economic development program that provide subsidized or unsubsidized employment as necessary;

(5) a job search program, including job seeking skills training; and

(6) other activities, to the extent of available resources designed by the county agency to prepare the registrant participant for permanent employment.

The work readiness program may include a public sector or nonprofit work experience component only if the component is established according to section 268.90.

In order to allow time for job search, the county agency may not require an individual to participate in the work readiness food stamp employment and training program for more than 32 hours a week. The county agency shall require an individual to spend at least eight hours a week in job search or other work readiness food stamp employment and training program activities.

(b) The county agency shall prepare an annual plan for the operation of its work readiness food stamp employment and training program. The plan must be submitted to and approved by the commissioner of economic security. The plan must include:

(1) a description of the services to be offered by the county agency;

(2) a plan to coordinate the activities of all public entities providing employment-related services in order to avoid duplication of effort and to provide services more efficiently;

(3) a description of the factors that will be taken into account when determining a client's employability development plan; and

(4) provisions to assure that applicants and recipients are evaluated for eligibility for general assistance prior to termination from the work readiness program; and

(5) provisions to ensure that the county agency's employment and training service provider provides each recipient with an orientation, employability assessment, and employability development plan as specified in paragraph (a), clauses (1) and (2), within 30 days of the recipient's application eligibility for assistance.

Sec. 5. Minnesota Statutes 1994, section 256D.051, is amended by adding a subdivision to read:

Subd. 2a. [DUTIES OF COMMISSIONER.] In addition to any other duties imposed by law, the commissioner shall:

(1) based on sections 256D.051 and 256D.052 and Code of Federal Regulations, title 7, section 273.7, supervise the administration of food stamp employment and training services to county agencies;

(2) disburse money appropriated for food stamp employment and training services to county agencies based upon the county's costs as specified in section 256D.06;

(3) accept and supervise the disbursement of any funds that may be provided by the federal government or from other sources for use in this state for food stamp employment and training services; and

(4) cooperate with other agencies including any agency of the United States or of another state in all matters concerning the powers and duties of the commissioner under sections 256D.051 and 256D.052.

Sec. 6. Minnesota Statutes 1994, section 256D.051, subdivision 3, is amended to read:

Subd. 3. [REGISTRANT PARTICIPANT DUTIES.] In order to receive work readiness food stamp assistance, a registrant shall: (1) cooperate with the county agency in all aspects of the work readiness food stamp employment and training program; (2) accept any suitable employment, including employment offered through the job training partnership act, and other employment and training options; and (3) participate in work readiness food stamp employment and training activities assigned by the county agency. The county agency may terminate assistance to a registrant who fails to cooperate in the work readiness food stamp employment and training program, as provided in subdivision 1a.

Sec. 7. Minnesota Statutes 1994, section 256D.051, subdivision 3a, is amended to read:

Subd. 3a. [PERSONS REQUIRED TO REGISTER FOR AND PARTICIPATE IN THE WORK READINESS FOOD STAMP EMPLOYMENT AND TRAINING PROGRAM.] Each person in a work readiness assistance unit who is 18 years old or older must register for and participate in the work readiness program. A person in the assistance unit who is at least 16 years old but less than 19 years old and who is not a full-time secondary school student is required to register and participate. A student who was enrolled as a full-time student during the last school term must be considered a full-time student during summers and school holidays. (a) To the extent required under Code of Federal Regulations, title 7, section 273.7(a), each applicant for and recipient of food stamps is required to register for work as a condition of eligibility for food stamp benefits. Applicants and recipients are registered by signing an application or annual reapplication for food stamps, and must be informed that they are registering for work by signing the form.

(b) The following food stamp recipients are exempt from mandatory participation in food stamp employment and training services:

(1) recipients of benefits under the AFDC program, Minnesota supplemental aid program, or the general assistance program, except that an adult who receives general assistance under section 256D.05, subdivision 1, paragraph (b), is not exempt unless that person qualifies under one of the remaining exemption provisions in this paragraph;

(2) a child;

(3) a recipient over age 55;

(4) a recipient who has a mental or physical illness, injury, or incapacity which is expected to continue for at least 30 days and which impairs the recipient's ability to obtain or retain employment as evidenced by professional certification or the receipt of temporary or permanent disability benefits issued by a private or government source;

(5) a parent or other household member responsible for the care of either a dependent child in the household who is under age six or a person in the household who is professionally certified as having a physical or mental illness, injury, or incapacity. Only one parent or other household member may claim exemption under this provision;

(6) a recipient receiving unemployment compensation or who has applied for unemployment compensation and has been required to register for work with the department of economic security as part of the unemployment compensation application process;

(7) a recipient participating each week in a drug addiction or alcohol abuse treatment and rehabilitation program, provided the operators of the treatment and rehabilitation program, in consultation with the county agency, recommend that the recipient not participate in the food stamp employment and training program;

(8) a recipient employed or self-employed for 30 or more hours per week at employment paying at least minimum wage, or who earns wages from employment equal to or exceeding 30 hours multiplied by the federal minimum wage;

(9) a student enrolled at least half time in any school, training program, or institution of higher education. When determining if a student meets this criteria, the school's, program's or institution's criteria for being enrolled half time shall be used; or

(10) a recipient who the county agency anticipates will receive less than $50 in food stamp benefits per month for at least the next three months.

Sec. 8. Minnesota Statutes 1994, section 256D.051, subdivision 3b, is amended to read:

Subd. 3b. [WORK READINESS PARTICIPATION REQUIREMENTS ORIENTATION.] A work readiness registrant meets the work readiness participation requirements if the registrant:

(1) completes the specific tasks or assigned duties that were identified by the county agency in the notice required under section 256D.101, subdivision 1, paragraph (a); and

(2) meets the requirements in subdivisions 3 and 8. The county agency or its employment and training service provider must provide an orientation to food stamp employment and training services to each nonexempt food stamp recipient within 30 days of the date that food stamp eligibility is determined. The orientation must inform the participant of the requirement to participate in services, the date, time, and address to report to for services, the name and telephone number of the food stamp employment and training service provider, the consequences for failure without good cause to comply, the services and support services available through food stamp employment and

training services and other providers of similar services, and must encourage the participant to view the food stamp program as a temporary means of supplementing the family's food needs until the family achieves self-sufficiency through employment. The orientation may be provided through audio-visual methods, but the participant must have the opportunity for face-to-face interaction with county agency staff.

Sec. 9. Minnesota Statutes 1994, section 256D.051, subdivision 6, is amended to read:

Subd. 6. [SERVICE COSTS.] Within the limits of available resources, the commissioner shall reimburse 92 percent of county agency expenditures for providing work readiness food stamp employment and training services including direct participation expenses and administrative costs, except as provided in section 256.017. State work readiness food stamp employment and training funds shall be used only to pay the county agency's and work readiness food stamp employment and training service provider's actual costs of providing participant support services, direct program services, and program administrative costs for persons who participate in work readiness such employment and training services. Beginning July 1, 1991, The average annual reimbursable cost for providing work readiness food stamp employment and training services to a recipient for whom an individualized employability development plan is not completed must not exceed $60 for the work readiness food stamp employment and training services, and $223 $240 for necessary recipient support services such as transportation or child care needed to participate in work readiness services food stamp employment and training program. If an individualized employability development plan has been completed, the average annual reimbursable cost for providing work readiness food stamp employment and training services must not exceed $283, except that the total annual average reimbursable cost shall not exceed $804 for recipients who participate in a pilot project work experience program under Laws 1993, First Special Session chapter 1, article 6, section 55, $300 for all services and costs necessary to implement the plan, including the costs of training, employment search assistance, placement, work experience, on-the-job training, other appropriate activities, the administrative and program costs incurred in providing these services, and necessary recipient support services such as tools, clothing, and transportation needed to participate in work readiness food stamp employment and training services. Beginning July 1, 1991, the state will reimburse counties, up to the limit of state appropriations, according to the payment schedule in section 256.025 for the county share of costs incurred under this subdivision on or after January 1, 1991. Payment to counties under this subdivision is subject to the provisions of section 256.017. The county agency may expend additional county funds over and above the dollar limits of this subdivision without state reimbursement.

Sec. 10. Minnesota Statutes 1994, section 256D.051, subdivision 6b, is amended to read:

Subd. 6b. [FEDERAL REIMBURSEMENT.] Federal financial participation from the United States Department of Agriculture for work readiness food stamp employment and training expenditures that are eligible for reimbursement through the food stamp employment and training program are dedicated funds and are annually appropriated to the commissioner of human services for the operation of the work readiness food stamp employment and training program. Federal financial participation for the nonstate portion of work readiness food stamp employment and training costs must be paid to the county agency that incurred the costs.

Sec. 11. Minnesota Statutes 1994, section 256D.051, subdivision 8, is amended to read:

Subd. 8. [VOLUNTARY QUIT.] A person who is required to participate in work readiness food stamp employment and training services is not eligible for general assistance or work readiness payments or services food stamps if, without good cause, the person refuses a legitimate offer of, or quits, suitable employment within 60 days before the date of application. A person who is required to participate in work readiness food stamp employment and training services and, without good cause, voluntarily quits suitable employment or refuses a legitimate offer of suitable employment while receiving general assistance or work readiness payments or services food stamps shall be terminated from the general assistance or work readiness food stamp program as specified in subdivision 1a.

Sec. 12. Minnesota Statutes 1994, section 256D.051, subdivision 9, is amended to read:

Subd. 9. [SUBCONTRACTORS.] A county agency may, at its option, subcontract any or all of the duties under subdivision 2 this section to a public or private entity approved by the commissioner of economic security.

Sec. 13. Minnesota Statutes 1994, section 256D.051, subdivision 17, is amended to read:

Subd. 17. [START WORK GRANTS.] Within the limit of available appropriations, the county agency may make grants necessary to enable work readiness recipients food stamp employment training program participants to accept bona fide offers of employment. The grants may be made for costs directly related to starting employment, including transportation costs, clothing, tools and equipment, license or other fees, and relocation. Start work grants are available once in any 12-month period to a recipient participant. The commissioner shall allocate money appropriated for start work grants to counties based on each county's work readiness food stamp employment and training program caseload in the 12 months ending in March for each following state fiscal year and may reallocate any unspent amounts.

Sec. 14. Minnesota Statutes 1994, section 256D.052, subdivision 3, is amended to read:

Subd. 3. [SERVICES PROVIDED PARTICIPANT LITERACY TRANSPORTATION COSTS.] Within the limits of the state appropriation the county agency must provide transportation to enable people food stamp employment and training participants to participate in literacy training under this section. The state shall reimburse county agencies for the costs of providing transportation under this section up to the amount of the state appropriation. Counties must make every effort to ensure that child care is available as needed by recipients who are pursuing literacy training.

Sec. 15. [APPROPRIATIONS; GENERAL ASSISTANCE GRANTS.]

$7,422,000 is appropriated from the general fund to the commissioner of human services for the biennium ending June 30, 1997, to cover the projected expansion in the general assistance caseload attributable to the transfer of some work readiness clients to general assistance.

Sec. 16. [INSTRUCTION TO REVISOR.]

The revisor of statutes is directed to delete the words "work readiness" wherever they appear in Minnesota Statutes, sections 256D.01 to 256D.21, in the next and subsequent editions of Minnesota Statutes.

Sec. 17. [REPEALER.]

Minnesota Statutes 1994, sections 256D.051, subdivisions 10, 13, 14, and 15; 256D.052, subdivisions 1, 2, and 4; 256D.091; 256D.101; 256D.111; and 256D.113, are repealed.

Sec. 18. [EFFECTIVE DATE.]

Sections 1 to 17 (256D.05, subdivision 1; 256D.051, subdivisions 1, 1a, 2, 2a, 3, 3a, 3b, 6, 6b, 8, 9, and 17; 256D.052, subdivision 3; instruction to revisor; Repealer: 256D.051, subdivisions 10, 13, 14, and 15; 256D.052, subdivisions 1, 2, and 4; 256D.091; 256D.101; 256D.111; and 256D.113) are effective July 1, 1995, and apply to all applications for assistance received on or after that date. Individuals eligible for and receiving work readiness assistance on June 30, 1995, shall, if otherwise eligible, be entitled to receive assistance for the remainder of their six-month entitlement and shall be subject to the provisions of the work readiness program in effect on June 30, 1995, for the remainder of their six-month entitlement period.

Section 1. [256.047] [EXPANSION OF MFIP TO RAMSEY, NOBLES AND AITKIN COUNTIES (MFIP-E).]

Subdivision 1. [MISSION STATEMENT.] The goal of MFIP-E employment and pre-employment services is to help caregivers increase their family income in a timely manner through paid employment.

Subd. 2. [SERVICE PROVIDING AGENCIES.] Employment and pre-employment services must be offered by providers certified by the commissioner of economic security who meet the standards in section 268.871, subdivision 1. County agencies must ensure that all services, including contracted services, meet the requirements of MFIP-E services according to section 256.048, subdivision 6.

Subd. 3. [STAFFING.] County agencies may hire MFIP-E staff, which includes employment specialists, job developers, and vocational counselors to provide pre-employment and employment services described in section 256.048, subdivision 6, and coordinate social and support services. County agencies are expected to ensure that staff providing employment and pre-employment services have the necessary training and experience to perform the specific services which they are assigned to do.

Sec. 2. [256.0475] [DEFINITIONS.]

Subdivision 1. [EMPLOYABILITY PLAN.] "Employability plan" means the plan developed by MFIP-E staff and the caregiver under section 256.048.

Subd. 2. [FAMILY SUPPORT AGREEMENT.] "Family support agreement" means the subsection of the employability plan which is limited to employment, education, employment and training services, and scheduled meetings with MFIP-E staff. For mandatory caregivers, noncompliance with the family support agreement may result in sanction.

Subd. 3. [MANDATORY CAREGIVER.] "Mandatory caregiver" means a caregiver who is required to develop a family support agreement under section 256.048, and is not exempt under that section.

Subd. 4. [MFIP-E] "MFIP-E" means the pre-employment and employment program, under section 256.048 provided to caregivers assigned to the Minnesota Family Investment Plan in Ramsey, Aitkin, and Nobles counties who receive financial assistance under sections 256.033, 256.034, and 256.036.

Sec. 3. [256.048] [INCOME SUPPORT AND TRANSITION.]

Subdivision 1. [EXPECTATIONS.] The requirement for a caregiver to develop a family support agreement is tied to the structure of the family and the length of time on assistance according to paragraphs (a) to (c).

(a) In a family headed by a single adult parental caregiver, the parental caregiver must be developing and complying with the terms of the family support agreement commencing with the 13th month of assistance.

(b) For a family with a minor parental caregiver or a family whose parental caregiver is 18 or 19 years of age and does not have a high school diploma or its equivalent, the parental caregiver must be developing and complying with a family support agreement concurrent with the receipt of assistance. The terms of the family support agreement must include compliance with section 256.736, subdivision 3b. If the parental caregiver fails to comply with the terms of the family support agreement, the sanctions in subdivision 4 apply. When the requirements in section 256.736, subdivision 3b, have been met, a caregiver has fulfilled the caregiver's obligation. County agencies must continue to offer MFIP-E services if the caregiver wants to continue with an employability plan. Caregivers who fulfill the requirements of section 256.736, subdivision 3b, are subject to the expectations of paragraphs (a) and (c).

(c) In a family with two adult parental caregivers, one parental caregiver must be developing and complying with the terms of the family support agreement commencing with the seventh month of assistance. The family and MFIP-E staff will designate the parental caregiver who will develop the family support agreement based on which parent has the greater potential to increase family income through immediate employment.

Subd. 2. [EXEMPTIONS.] A caregiver is exempt from expectations as provided in paragraphs (a) and (b).

(a) Except for clause (4), which applies only for a single-parent family, a caregiver in a single-parent or two-parent family is exempt from the expectations of MFIP-E if the caregiver is:

(1) ill, incapacitated, or 60 years of age or older;

(2) needed in the home because of the illness or incapacity of another family member;

(3) the parent of a child under one year of age and is personally providing care for the child. This exemption does not apply to the school attendance requirement for minor parents or 18- and 19-year old parents as provided in section 256.736, subdivision 3b, paragraphs (f) and (g);

(4) the parent of a child under six years of age and is employed or participating in education or employment and training services for 20 or more hours per week. This exemption does not apply to the school attendance requirement for minor parents or 18- and 19-year old parents as provided in section 256.736, subdivision 3b, paragraph (f), clause (5);

(5) working 30 hours or more per weeks or, if the number of hours cannot be verified, earns weekly, at least the federal minimum hourly wage rate multiplied by 30;

(6) in the second or third trimester of pregnancy;

(7) not the natural parent, adoptive parent, or stepparent of a minor child in the assistance unit; or

(8) a person for whom lack of proficiency in English is a barrier to employment, provided the person is participating in an intensive program which lasts no longer than six months and is designed to remedy the language deficiency. Individuals who, because of advanced age or lack of ability, are incapable of gaining proficiency in English, as determined by the county social worker, shall continue to be exempt under this subdivision and are not subject to the requirement that they be participating in a language program.

(b) In a two-parent household, only one parent may be exempt under paragraph (a), clause (2) or (3). If paragraph (a), clause (5), applies to either parent in a two-parent family, the other parent is exempt. In a two-parent household, if the parent designated to develop a family support agreement becomes exempt and the exemption is expected to last longer than six months, then the second parent is required to develop a family support agreement unless otherwise exempt under paragraph (a).

Subd. 3. [GOOD CAUSE FOR FAILURE TO COMPLY.] Caregivers may claim the following reasons as good cause for failure to comply with the expectations of MFIP-E employment and pre-employment services:

(1) needed child care is not available;

(2) the job does not meet the definition of suitable employment according to section 256.736, subdivision 1a, paragraph (h);

(3) the parental caregiver is ill, incapacitated, or injured;

(4) a family member is ill and needs care by the parental caregiver;

(5) the parental caregiver is unable to secure the necessary transportation;

(6) the parental caregiver is in an emergency situation;

(7) the schedule of compliance with the family support agreement conflicts with judicial proceedings;

(8) the parental caregiver is already participating in acceptable activities;

(9) the family support agreement requires an educational program for a parent under the age of 20, but the educational program is not offered in the school district;

(10) activities identified in the family support agreement are not available;

(11) the parental caregiver is willing to accept suitable employment but employment is not available;

(12) the parental caregiver documents other verifiable impediments to compliance with the family support agreement beyond the parental caregiver's control; or

(13) the family support agreement requires an educational program for a parent under the age of 20, but the only available school program requires round trip commuting time from the custodial parent's residence of more than two hours by available means of transportation, excluding the time necessary to transport children to and from child care.

Subd. 4. [SANCTION.] The county agency must reduce an assistance unit's assistance payment by ten percent of the transitional standard for the applicable family size when a caregiver who is not exempt from the expectations in this section, fails to attend a mandatory briefing, fails to attend scheduled meetings with MFIP-E staff, or fails to develop or comply with the terms of the caregiver's family support agreement. MFIP-E staff must send caregivers a notice of intent to sanction. For the purpose of this section, "notice of intent to sanction" means MFIP-E staff must provide written notification to the caregiver that the caregiver is not fulfilling the requirement to develop or comply with the family support agreement. This notification must inform the caregiver of the right to request a conciliation conference within ten days of the mailing of the notice of intent to sanction or the right to request a fair hearing under section 256.045. If a caregiver requests a conciliation conference, the county agency must postpone implementation of the sanction pending completion of the conciliation conference. If the caregiver does not request a conciliation conference within ten calendar days of the mailing of the notice of intent to sanction, the MFIP-E staff must notify the county agency that the assistance payment should be reduced.

Upon notification from MFIP-E staff that an assistance payment should be reduced, the county agency must send a notice of adverse action to the caregiver stating that the assistance payment will be reduced in the next month following the ten-day notice requirement and state the reason for the action. For the purpose of this section, "notice of adverse action" means the county agency must send a notice of sanction, reduction, suspension, denial, or termination of benefits before taking any of those actions. The caregiver may request a fair hearing under section 256.045, upon notice of intent to sanction or notice of adverse action, but the conciliation conference is available only upon notice of intent to sanction.

Subd. 5. [ORIENTATION.] The county agency must provide a financial assistance orientation which supplies information to caregivers about the MFIP-E and must encourage parental caregivers to engage in activities to stabilize the family and lead to employment and self-support.

Subd. 6. [PRE-EMPLOYMENT AND EMPLOYMENT SERVICES.] The county agency must provide services identified in clauses (1) to (10). Services include:

(1) a required briefing for all nonmandatory caregivers assigned to MFIP-E, which includes a review of the information presented at an earlier MFIP-E orientation pursuant to subdivision 5, and an overview of services available under MFIP-E pre-employment and employment services, an overview of job search techniques, and the opportunity to volunteer for MFIP-E job search activities and basic education services;

(2) a briefing for all mandatory caregivers assigned to MFIP-E, which includes a review of the information presented at an earlier MFIP-E orientation pursuant to subdivision 5, and an overview of services available under MFIP-E pre-employment and employment services;

(3) an MFIP assessment that meets the requirements of section 256.736, subdivision 10, paragraph (a), clause (14), and addresses caregivers' skills, abilities, interests, and needs;

(4) development, together with the caregiver, of an employability plan and family support agreement according to subdivision 7;

(5) coordination of services including child care, transportation, education assistance, and social services necessary to enable caregivers to fulfill the terms of the employability plan and family support agreement;

(6) provision of full-time English as a second language (ESL) classes;

(7) provision of a broad range of employment and pre-employment services including basic skills testing, interest and aptitude testing, career exploration, job search activities, community work experience program under section 256.737, or on-the-job training under section 256.738;

(8) evaluation of the caregiver's compliance with the employability plan and family support agreement and support and recognition of progress toward employment goals;

(9) provision of postemployment follow-up for up to six months after caregivers become exempt or exit MFIP-E due to employment if requested by the caregiver; and

(10) approval of education and training program activities.

Subd. 7. [EMPLOYABILITY PLAN AND FAMILY SUPPORT AGREEMENT.] (a) The caregiver and MFIP-E staff will develop an employability plan and family support agreement. The employability plan includes the caregiver's overall employment goal, activities necessary to reach that goal, a timeline for each activity, and the support services provided by the agency. All activities in the employability plan must contribute to the caregiver's overall employment goal.

(b) The family support agreement is the enforceable section of an employability plan for mandatory caregivers. The family support agreement must be limited to employment, education, or employment and training services, and scheduled meetings with MFIP-E staff. The family support agreement must be signed by both an MFIP-E staff and the parental caregiver.

(1) In developing an employability plan family support agreement, MFIP-E staff must discuss with the caregiver the economic benefits under MFIP of taking available employment. MFIP-E staff must provide examples of how different levels of earnings increase available income.

(2) Activities in the family support agreement must enhance the family's opportunities to increase its income in a timely manner through paid employment.

(3) Each step of the family support agreement shall build upon prior steps and facilitate progress toward the caregiver's overall employment goal.

(4) Social services, such as mental health or chemical dependency services, parenting education, or budget management, can be included in the employability plan but not in the family support agreement and are not subject to sanctions under subdivision 4.

(5) The family support agreement must state the parental caregiver's obligations and the standards for satisfactory compliance with the requirements of MFIP-E.

Subd. 8. [REQUIREMENT TO ATTEND BRIEFING.] All MFIP-E caregivers are required to attend a mandatory briefing which includes a review of the information presented at an earlier MFIP-E orientation pursuant to subdivision 5, and an overview of services available under MFIP-E pre-employment and employment services.

Subd. 9. [REQUIREMENT TO PARTICIPATE IN JOB SEARCH.] The family support agreement for mandatory caregivers will include 30 hours per week of job search activity. The family support agreement for single parental caregivers with a child under the age of six may require no more than 20 hours of job search activity. Job search requirements do not apply to minor parental caregivers and parental caregivers under the age of 20 who must meet the educational requirement under section 256.736, subdivision 3b.

Subd. 10. [LENGTH OF JOB SEARCH.] Caregivers participating in job search shall have eight weeks to find employment which is consistent with the employment goal in the family support agreement. If after eight weeks of job search, the parental caregiver does not find employment consistent with the overall employment goal, the caregiver must accept any suitable employment.

Subd. 11. [LEVEL OF EMPLOYMENT.] Caregivers participating in job search are expected to seek and accept full-time employment. Any caregiver satisfies this requirement by working at least 30 hours per week. Single parents with a child under the age of six satisfy the requirement by working at least 20 hours per week.

Subd. 12. [CESSATION OF EMPLOYMENT.] Mandatory caregivers who quit a job, are laid off, or are terminated must contact MFIP-E staff within ten calendar days of the date the employment ended to schedule a meeting to revise the family support agreement to incorporate job search activities to obtain suitable employment. A caregiver who fails to contact MFIP-E staff within ten calendar days, fails to attend a scheduled meeting to revise the family support agreement, or fails to accept an offer of suitable employment is subject to sanctions under subdivision 4.

Subd. 13. [EDUCATION AND TRAINING ACTIVITIES; BASIC EDUCATION.] Basic education, including adult basic education, high school or general equivalency diploma, or ESL may be included in the family support agreement when a caregiver is actively participating in job search activities as specified in the family support agreement, or employed at least 12 hours per week. Six months of basic education activities may be included in the family support agreement, and extension of basic education activities is contingent upon review and approval by MFIP-E staff.

Non-English speaking caregivers have the option to participate in full-time ESL activities for up to six months prior to participation in job search with approval of MFIP-E staff.

Subd. 14. [EDUCATION AND TRAINING ACTIVITIES; POST-SECONDARY EDUCATION.] (a) Mandatory caregivers, mandatory caregivers who become exempt, and caregivers converted from Project STRIDE or ACCESS may have post-secondary education included in the family support agreement when they are employed at least 12 hours per week.

(b) Conditions for approval of a post-secondary education program include demonstration by the caregiver that:

(1) there is a market for full-time employees with this education or training where the caregiver will or is willing to reside upon completion of the program;

(2) the average wage level for employees with this education or training is significantly greater than the caregiver can earn without this education or training;

(3) the caregiver can meet the requirements for admission into the program; and

(4) there is a reasonable expectation that the caregiver will complete the training program based on such factors as the caregiver's current MFIP assessment; previous education, training, and work history; current motivation; and changes in previous circumstances.

(c) A comparison must be made between income foregone by delaying immediate entry into full-time paid employment while in pursuit of education or training and the probable income which will be earned following the education or training. The advantages and disadvantages to the family must be discussed with respect to both options.

(d) Activities under this subdivision are limited to the equivalent of four years of full-time education, with the following exceptions:

(1) caregivers in subdivision 15;

(2) caregivers who have already obtained a post-secondary degree. These caregivers are limited to course work necessary to upgrade skills, or obtain licensure or certification.

(e) Caregivers in education or training programs must maintain satisfactory progress. "Satisfactory progress" in an education or training program means the caregiver remains in good standing as defined by the education or training institution and meets the requirements in the caregiver's MFIP-E employability plan. MFIP-E staff may withdraw approval of the caregiver's employability plan when the caregiver does not maintain satisfactory progress in the education or training program.

Subd. 15. [CONVERTED PROJECT STRIDE AND ACCESS CASES.] Caregivers with an employability plan from Project STRIDE or ACCESS must develop an MFIP-E employability plan. With approval of the MFIP-E staff, the family support agreement for caregivers under this section may include continuation of educational activities, up to a baccalaureate degree, if initiated under project STRIDE or ACCESS. Caregivers who continue these activities must also participate in job search or work at least 12 hours per week.

Subd. 16. [REVISIONS TO FAMILY SUPPORT AGREEMENT.] The caregiver may revise the family support agreement with approval of MFIP-E staff.

Subd. 17. [VOLUNTEERS FOR MFIP-E PRE-EMPLOYMENT AND EMPLOYMENT SERVICES.] (a) Upon request, local agencies must continue to offer MFIP-E services to:

(1) caregivers with a signed family support agreement who become exempt under subdivision 2; and

(2) caregivers randomly assigned to MFIP during the conversion period who have an active Project STRIDE or ACCESS plan.

(b) County agencies must also service the following caregivers, as funding allows:

(1) second parent in a two-parent family;

(2) caregivers who have not reached the timing for mandatory participation.

(c) Volunteers under paragraph (a) may access all MFIP-E services. Volunteers under paragraph (b), clause (1), may access MFIP-E job search and basic education services only. Volunteers under paragraph (b), clause (2), may access only MFIP-E job search services.

(d) Caregivers identified in this subdivision are voluntary participants for MFIP-E pre-employment and employment services and may not be sanctioned for failure to cooperate unless they reach the timing of MFIP-E pre-employment and employment services under subdivision 6, or are no longer exempt under subdivision 2.

Subd. 18. [CONCILIATION.] The county agency must inform the mandatory parental caregiver of the option of a conciliation conference when the mandatory parental caregiver receives a notice of intent to sanction or cannot reach agreement with MFIP-E staff about the contents or interpretation of the family support agreement.

Conciliation procedures shall be available as provided in section 256.736, subdivision 11, paragraph (c). Upon receiving a notice of intent to sanction, a caregiver may request a hearing under section 256.045 without exercising the option of a conciliation conference.

Subd. 19. [CHILD CARE.] The commissioner shall ensure that each MFIP caregiver who is employed or is developing or is engaged in activities identified in an employability plan under subdivision 7, and who needs assistance with child care costs to be employed or to develop or comply with the terms for an employability plan receives a child care subsidy through child care money appropriated for the MFIP. The subsidy must cover all actual child care costs for eligible hours up to the maximum rate allowed under section 256H.15. A caregiver who is in the assistance unit and leaves the program as a result of increased earnings from employment, and needs child care assistance to remain employed, is entitled to extended child care assistance as provided under United States Code, title 42, section 602(g)(1)(a)(ii), on a copayment basis.

Subd. 20. [HEALTH CARE.] A family leaving the program as a result of increased earnings from employment is eligible for extended medical assistance as provided under Public Law Number 100-485, section 303, as amended and Public Law Number 101-239, section 8015(b)(7).

Sec. 4. [256.049] [APPLICABILITY.]

Section 256.035 will not apply to the expansion of MFIP into Ramsey, Aitkin, and Nobles counties (MFIP-E). Sections 256.047 to 256.048 will substitute for section 256.035 for the purposes of MFIP-E. Sections 256.031 to 256.034, and 256.036, 256.0361, and 268.871 are applicable to MFIP-E insofar as they are not inconsistent with sections 256.047 to 256.048. Minnesota Rules, part 9500.4220, does not apply to MFIP-E. Minnesota Rules, parts 9500.4000 to 9500.4210, and 9500.4230 to 9500.4340, are applicable to the expansion of MFIP into Ramsey, Aitkin, and Nobles counties insofar as they are not inconsistent with sections 256.047 to 256.048.

Sec. 5. [APPROPRIATIONS; MFIP EXPANSION.]

Subdivision 1. [APPROPRIATIONS.] The appropriations in this section are from the general fund to the commissioner of human services for the biennium ending June 30, 1997.

Subd. 2. [RAMSEY COUNTY MFIP.] (a) $11,853,000 for purposes of the employment and training costs associated with expanding MFIP to Ramsey county.

(b) $1,853,000 for purposes of the child care costs associated with expanding MFIP to Ramsey county.

Subd. 3. [NOBLES AND AITKIN COUNTIES MFIP.] (a) $4,267,000 for purposes of the employment and training costs associated with expanding MFIP to Nobles and Aitkin counties.

(b) $667,000 for purposes of the child care costs associated with the expansion of MFIP to Nobles and Aitkin counties."

Delete the title and insert:

"A bill for an act relating to health and human services; authorizing welfare reform; childhood immunization; social services programs; recovery of funds; requesting federal waivers for programs; employment, education, and training programs; allocation and use of funds; coverage of health services; informed consent; child support; data collection and disclosure; tax credits; appropriating money; amending Minnesota Statutes 1994, sections 13.46, subdivision 2; 256.01, subdivision 11, and by adding subdivisions; 256.031, subdivision 3; 256.035, subdivision 6d; 256.73, subdivision 8, and by adding subdivisions; 256.736, subdivisions 3, 3a, 4a, 5, 10, 10a, 16, and by adding a subdivision; 256.737, subdivisions 1a and 2; 256.74, by adding a subdivision; 256.81; 256.87, subdivisions 1, 1a, and 5; 256.979, by adding a subdivision; 256.983, subdivision 1; 256B.0625, subdivision 13; 256D.05, subdivisions 1 and 6; 256D.051, subdivisions 1, 1a, 2, 3, 3a, 3b, 6, 6b, 8, 9, 17, and by adding a subdivision; 256D.052, subdivision 3; 256D.09, by adding subdivisions; 268.12, subdivision 12; and 518.575; proposing coding for new law in Minnesota Statutes, chapters 145; 256; 256D; and 268; repealing Minnesota Statutes 1994, sections 256.734; 256D.051, subdivisions 10, 13, 14, and 15; 256D.052, subdivisions 1, 2, and 4; 256D.091; 256D.101; 256D.111; and 256D.113."

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

The report was adopted.

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

H. F. No. 121, A bill for an act relating to state trails; authorizing extension of the Blufflands Trail System in Winona county; amending Minnesota Statutes 1994, section 85.015, subdivision 7.

Reported the same back with the recommendation that the bill pass and be placed on the Consent Calendar.

The report was adopted.

Long from the Committee on Local Government and Metropolitan Affairs to which was referred:

H. F. No. 148, A bill for an act relating to the city of Columbia Heights; exempting a tax increment financing district from the LGA/HACA offset.

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

The report was adopted.

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

H. F. No. 218, A bill for an act relating to natural resources; appropriating money for the Minnesota rock, gem, and mineral interpretative center; powers and duties of the commissioner of natural resources.

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

The report was adopted.

Jacobs from the Committee on Regulated Industries and Energy to which was referred:

H. F. No. 248, A bill for an act relating to energy; adding pumped hydropower to the list of preferred alternative energy sources; providing for incentive payments to pumped hydropower facilities; amending Minnesota Statutes 1994, sections 216C.051, subdivision 7; and 216C.41, subdivision 1.

Reported the same back with the following amendments:

Page 1, line 22, strike "and" and insert a comma, and after "solar" insert ", and low-head or refurbished hydropower"

Page 1, line 23, delete the new language and strike "low-head or refurbished" and insert "closed system pumped"

Page 1, line 26, after "cogeneration" insert "and other cogeneration gasification processes"

Page 2, line 2, before "pumped" insert "closed system"

Page 2, after line 30, insert:

"(h) For the purposes of paragraph (c), clauses (2) and (4), the use of closed system pumped hydropower must be limited to use in areas previously disturbed by industrial activity, including but not limited to mining."

Page 3, line 4, after "is" insert "closed system"

Amend the title as follows:

Page 1, line 2, after "adding" insert "low-head or refurbished and closed system"

Page 1, line 4, after "to" insert "closed system"

With the recommendation that when so amended the bill pass.

The report was adopted.

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

H. F. No. 351, A bill for an act relating to the environment; appropriating money for combined sewer overflow grants to the city of Red Wing.

Reported the same back with the following amendments:

Page 1, line 9, delete "be begun" and insert "begin" and delete "years" and insert "year" and delete "and 1997"

Page 1, delete lines 12 to 15

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

The report was adopted.

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

H. F. No. 361, A bill for an act relating to the environment; providing that site testing and study may be performed as part of the project costs eligible for a contamination cleanup grant; amending Minnesota Statutes 1994, section 116J.552, subdivision 7.

Reported the same back with the following amendments:

Delete everything after the enacting clause and insert:

"Section 1. Minnesota Statutes 1994, section 116J.552, subdivision 2, is amended to read:

Subd. 2. [CLEANUP COSTS.] "Cleanup costs" or "costs" mean the cost means all costs of developing the response action plan and costs of implementing an the approved response action plan. Cleanup costs also include implementation costs incurred prior to the award of a grant, but only if the applicant submits its application within not more than 180 days or the next deadline after 180 days if none falls within that period after the commissioner of the pollution control agency approves the response action plan.

Sec. 2. [EFFECTIVE DATE.]

Section 1 is effective the day following final enactment and applies to all grants awarded after that date. Any applicant may amend its grant, prior to the next application deadline pursuant to Minnesota Statutes, section 116J.555, subdivision 2, to request the grant cover cleanup costs authorized in section 1."

Delete the title and insert:

"A bill for an act relating to the environment; clarifying that contamination cleanup grants also cover costs incurred in developing a response action plan and cleanup costs incurred prior to the award of a grant in limited cases; amending Minnesota Statutes 1994, section 116J.552, subdivision 2."

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

The report was adopted.

Johnson, R., from the Committee on Labor-Management Relations to which was referred:

H. F. No. 393, A bill for an act relating to employment; modifying provisions relating to access to occupational safety and health investigation data; amending Minnesota Statutes 1994, section 182.659, subdivision 8, and by adding a subdivision.

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

The report was adopted.

Johnson, R., from the Committee on Labor-Management Relations to which was referred:

H. F. No. 398, A bill for an act relating to elevators; regulating persons who may do elevator work; appropriating money; amending Minnesota Statutes 1994, sections 183.355, subdivision 3; 183.357, subdivisions 1, 2, and 4; and 183.358; proposing coding for new law in Minnesota Statutes, chapter 183.

Reported the same back with the following amendments:

Page 1, line 23, delete "chapter 326" and insert "sections 326.241 to 326.248"

Page 3, after line 18, insert:

"Sec. 7. [183.3581] [APPLICATION.]

Nothing in sections 1 to 3 shall be construed to require registration or licensure of a person, or issuance of a permit to do minor repair work as that term is defined in Minnesota Rules, part 3800.3500, subpart 10."

Page 3, line 19, delete "7" and insert "8"

With the recommendation that when so amended the bill pass and be re-referred to the Committee on Commerce, Tourism and Consumer Affairs.

The report was adopted.

Long from the Committee on Local Government and Metropolitan Affairs to which was referred:

H. F. No. 433, A bill for an act relating to the city of Windom; exempting a tax increment financing district from certain restrictions.

Reported the same back with the following amendments:

Page 1, line 8, delete "the"

Page 1, line 9, delete "city of Windom" and insert "Cottonwood county"

Page 1, delete lines 23 and 24

Page 2, line 1, delete "(e)" and insert "(d)"

Page 2, line 4, delete "(f)" and insert "(e)"

Page 2, delete line 9, and insert:

"(f) The Cottonwood county board shall"

Page 2, line 25, delete "the city of Windom" and insert "Cottonwood county"

Amend the title as follows:

Page 1, line 2, delete "the city of Windom" and insert "Cottonwood county"

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

The report was adopted.

Jacobs from the Committee on Regulated Industries and Energy to which was referred:

H. F. No. 435, A bill for an act relating to public utilities; authorizing performance-based gas purchasing regulation for gas utilities; amending Minnesota Statutes 1994, section 216B.16, by adding a subdivision; proposing coding for new law in Minnesota Statutes, chapter 216B.

Reported the same back with the recommendation that the bill pass and be placed on the Consent Calendar.

The report was adopted.

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

H. F. No. 504, A bill for an act relating to natural resources; authorizing grants to units of government and school districts for parks, recreation areas, and natural and scenic areas; authorizing rules for administration; proposing coding for new law in Minnesota Statutes, chapter 85; repealing Minnesota Statutes 1994, section 85.019.

Reported the same back with the following amendments:

Page 1, line 22, after "land" insert "and improvements needed for parks and other outdoor recreation areas and facilities"

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

The report was adopted.

Skoglund from the Committee on Judiciary to which was referred:

S. F. No. 75, A bill for an act relating to real property; clarifying requirements relating to filing of notice of mechanics' liens; amending Minnesota Statutes 1994, section 514.08, subdivision 1.

Reported the same back with the following amendments:

Page 1, after line 20, insert:

"Sec. 2. Minnesota Statutes 1994, section 514.12, subdivision 1, is amended to read:

Subdivision 1. [RECORDING.] At the beginning of the action the plaintiff shall file for record with the county recorder or, if registered land, with the registrar of titles of the county in which it is brought, and of the several counties if the lien be claimed under section 514.04, a notice of the pendency thereof, embracing therein a copy of the summons, omitting the caption."

Amend the title as follows:

Page 1, line 3, delete "notice of" and insert "notices relating to"

Page 1, line 4, delete "section" and insert "sections"

Page 1, line 5, before the period insert "; and 514.12, subdivision 1"

With the recommendation that when so amended the bill pass and be placed on the Consent Calendar.

The report was adopted.

Osthoff from the Committee on General Legislation, Veterans Affairs and Elections to which was referred:

S. F. No. 141, A bill for an act relating to elections; providing for review of certain school board plans by the secretary of state; changing allocation of certain election expenses; providing for retention of election materials; clarifying terms of office and election frequency in certain cities; providing for transition in certain offices; authorizing the use of more than one combined polling place in certain school board elections; providing for dissolution of certain election districts; amending Minnesota Statutes 1994, sections 122.23, by adding a subdivision; 122.242, subdivision 1; 204B.32, subdivision 2; 204B.40; 205.07, subdivision 1; 205.84, by adding a subdivision; 205A.11, subdivision 2; 205A.12, by adding a subdivision; and Laws 1994, chapter 646, section 26, subdivision 3.

Reported the same back with the following amendments:

Page 5, line 9, before "When" insert "(a)"

Page 5, after line 16, insert:

"(b) At least 14 days before each election in which a combined polling place will be used, the school district clerk shall send a nonforwardable mailed notice to each affected registered voter indicating the date of the election, the hours of voting, and the location of the polling place. A notice that is returned as undeliverable must be forwarded immediately to the appropriate county auditor, who shall change the registrant's status in the statewide registration system to "challenged.""

Page 6, line 21, delete "This act is" and insert "Sections 1 to 6, 7, paragraph (a), and 8 to 10 are"

Page 6, after line 21, insert:

"Section 7, paragraph (b), is effective January 1, 1996."

With the recommendation that when so amended the bill pass.

The report was adopted.

H. F. Nos. 121, 248 and 435 were read for the second time.

S. F. Nos. 75 and 141 were read for the second time.

The following House Files were introduced:

Cooper, Lourey, Greenfield, Haas and Huntley introduced:

H. F. No. 612, A bill for an act relating to health; requiring equal treatment of prescription drug prescribers; proposing coding for new law in Minnesota Statutes, chapter 62A.

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

Hugoson introduced:

H. F. No. 613, A bill for an act relating to agriculture; adding the commissioner of agriculture to the board of directors of the agricultural utilization research institute; amending Minnesota Statutes 1994, section 116O.09, subdivision 1a.

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

Cooper and Peterson introduced:

H. F. No. 614, A bill for an act relating to agriculture; creating a "Passing on the Farm Center"; appropriating money; proposing coding for new law in Minnesota Statutes, chapter 17.

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

Girard, Sviggum, Vickerman, Molnau and Paulsen introduced:

H. F. No. 615, A bill for an act relating to employment; eliminating the requirement that prevailing wages be paid under state contracts; amending Minnesota Statutes 1994, sections 268.92, subdivision 6; and 471.992, subdivision 1; repealing Minnesota Statutes 1994, sections 116J.871, subdivisions 2 and 3; 177.41; 177.42; 177.43; 177.44; and 471.345, subdivision 7.

The bill was read for the first time and referred to the Committee on Labor-Management Relations.

Jennings; Ness; Swenson, D.; Perlt and Pugh introduced:

H. F. No. 616, A bill for an act relating to occupations and professions; board of accountancy; providing for licensure of firms; modifying licensing and disciplinary requirements; regulating practice entities; appropriating money; amending Minnesota Statutes 1994, sections 326.165; 326.17; 326.18; 326.19; 326.20, subdivisions 1, 3, 4, and by adding a subdivision; 326.211, subdivisions 1, 2, 3, 4, 5, 7, 8, 9, and 10; 326.212, subdivisions 1, 3, 5, and by adding a subdivision; 326.22, subdivisions 1, 2, and 3; 326.223; 326.224; 326.228; and 326.229, subdivisions 3, 4, 6, 7, and by adding a subdivision; proposing coding for new law in Minnesota Statutes, chapter 326; repealing Minnesota Statutes 1994, section 326.191; 326.20, subdivision 2; 326.21; 326.212, subdivision 4; and 326.225.

The bill was read for the first time and referred to the Committee on Commerce, Tourism and Consumer Affairs.

Johnson, R., and Smith introduced:

H. F. No. 617, A bill for an act relating to retirement; teachers retirement association; making various changes in administrative and benefits practices; amending Minnesota Statutes 1994, sections 354.05, subdivisions 5, 35, and 40; 354.06, subdivision 4; and 354.52, subdivision 4a; repealing Minnesota Statutes 1994, section 354A.05, subdivision 4.

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

Lourey and Anderson, R., introduced:

H. F. No. 618, A bill for an act relating to human services; increasing the maximum efficiency incentive for intermediate care facilities for the mentally retarded; amending Minnesota Statutes 1994, section 256B.501, subdivision 5a.

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

Lourey and Anderson, R., introduced:

H. F. No. 619, A bill for an act relating to human services; modifying efficiency incentives for nursing facilities; amending Minnesota Statutes 1994, section 256B.431, subdivisions 3c and 24.

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

Jacobs introduced:

H. F. No. 620, A bill for an act relating to telecommunications; allowing for alternative regulation of telephone companies for a limited period; authorizing rulemaking to promote fair and reasonable competition for local exchange service; making technical changes; amending Minnesota Statutes 1994, sections 237.01, subdivision 6; 237.09; and 237.16; proposing coding for new law in Minnesota Statutes, chapter 237.

The bill was read for the first time and referred to the Committee on Regulated Industries and Energy.

Lieder introduced:

H. F. No. 621, A bill for an act relating to elections; providing for distribution of a caucus guide and a voters' guide; appropriating money; proposing coding for new law in Minnesota Statutes, chapters 202A; and 204B.

The bill was read for the first time and referred to the Committee on General Legislation, Veterans Affairs and Elections.

Tunheim; Anderson, I.; Sviggum; Finseth and Johnson, R., introduced:

H. F. No. 622, A bill for an act relating to natural resources; modifying provisions relating to wetlands; amending Minnesota Statutes 1994, sections 103G.222; 103G.2241; 103G.2242, subdivisions 1, 2, 6, 7, 9, 12, and by adding a subdivision; 103G.237, subdivision 4, and by adding a subdivision; and 103G.2372, subdivision 1.

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

Tomassoni, Sarna, Simoneau, Delmont and Perlt introduced:

H. F. No. 623, A bill for an act relating to insurance; life insurance and annuities; requiring certain disclosures prior to replacement of an existing policy or contract; proposing coding for new law in Minnesota Statutes, chapter 61A.

The bill was read for the first time and referred to the Committee on Financial Institutions and Insurance.

Ostrom, Jefferson, Greiling, Hugoson and Pelowski introduced:

H. F. No. 624, A bill for an act relating to public employees; providing a leave of absence for public employees who are candidates for elective office; proposing coding for new law in Minnesota Statutes, chapter 179A.

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

Orenstein, Kahn, Osskopp, Skoglund and Knight introduced:

H. F. No. 625, A bill for an act relating to state government; providing for the Minnesota collection enterprise; imposing duties and providing powers; providing for the disclosure of certain data; imposing a collection penalty; appropriating money; amending Minnesota Statutes 1994, sections 16D.02, subdivision 6, and by adding a subdivision; 16D.04, subdivisions 1 and 3; 16D.06, subdivision 2; and 16D.08, subdivision 2; proposing coding for new law in Minnesota Statutes, chapter 16D.

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

Hausman; Johnson, V.; Munger; Greiling and Wagenius introduced:

H. F. No. 626, A bill for an act relating to environmental education; implementing environmental education; establishing the environmental education council; transferring duties to the office of strategic and long-range planning; appropriating money; amending Minnesota Statutes 1994, sections 126A.01; 126A.02; 126A.04; 126A.07; 126A.08; and 126A.12; Laws 1993, chapter 224, article 12, section 32.

The bill was read for the first time and referred to the Committee on Environment and Natural Resources.

Huntley, Jaros and Munger introduced:

H. F. No. 627, A bill for an act relating to insurance; extending eligibility for certain elective individual paid insurance and benefits; amending Minnesota Statutes 1994, section 43A.27, subdivision 2.

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

Bishop, Murphy, Pugh, Solberg and Lynch introduced:

H. F. No. 628, A bill for an act relating to the family; creating a presumption of refusal or neglect of parental duties in certain termination of parental rights cases; amending Minnesota Statutes 1994, section 260.221, subdivision 1.

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

Van Engen, Davids, Brown, Ostrom and McElroy introduced:

H. F. No. 629, A bill for an act relating to capital improvements; authorizing bonds and appropriating money to install an elevator at the Prairie Lakes Juvenile Detention Center.

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

Macklin, Girard, Erhardt, Goodno and Sviggum introduced:

H. F. No. 630, A bill for an act relating to the financing of government in this state; providing tax credits; making the used farm machinery sales tax exemption permanent; repealing the political contribution refund; providing flexibility and accountability for local governments; appropriating money; amending Minnesota Statutes 1994, sections 256E.06, subdivisions 9, 12, and 13; 273.138, subdivision 2; 273.1398, subdivisions 2 and 3a; 273.166, subdivision 2; 276.04, subdivision 2; 289A.50, subdivision 1; 290.01, subdivision 6; 290.06, by adding a subdivision; 297A.25,

subdivision 59; 471.9981, subdivision 6; 477A.012, subdivision 1; 477A.013, subdivisions 1 and 9; 477A.0132, subdivisions 1 and 2; 477A.014, subdivisions 1, 2, and 5; 477A.015; 477A.017, subdivision 3; and 477A.03, subdivisions 1 and 2; proposing coding for new law in Minnesota Statutes, chapters 275; and 477A; repealing Minnesota Statutes 1994, sections 10A.322, subdivision 4; 10A.43, subdivision 5; 290.06, subdivision 23; 477A.011, subdivisions 30, 31, 32, 33, 34, 35, 36, and 37; 477A.012; 477A.013; and 477A.014, subdivision 1a.

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

Clark, Brown, Otremba, Kalis and Hasskamp introduced:

H. F. No. 631, A bill for an act relating to health; giving the commissioner of administration authority to negotiate contract prices for all prescription drugs sold in Minnesota; allowing correction orders to be issued; establishing a statewide drug formulary; requiring a pharmacy to post a sign on generic substitution; amending Minnesota Statutes 1994, sections 151.21, subdivisions 2, 3, and by adding a subdivision; and 256B.0625, subdivision 13; proposing coding for new law in Minnesota Statutes, chapters 16B; and 256.

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

Van Engen, Hasskamp, Cooper, Huntley and Davids introduced:

H. F. No. 632, A bill for an act relating to civil actions; limiting the liability of grocery stores and delicatessens as food donors to the elderly or needy; amending Minnesota Statutes 1994, section 604A.10, subdivision 1.

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

Skoglund introduced:

H. F. No. 633, A bill for an act relating to crime; increasing penalties for committing the crime of indecent exposure in the presence of a child under the age of 16; amending Minnesota Statutes 1994, section 617.23.

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

Greenfield; Anderson, R.; Cooper and Worke introduced:

H. F. No. 634, A bill for an act relating to human services; development of a long-term care payment and services delivery system; appropriating money.

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

Rhodes, Perlt, Tunheim, Osthoff and Workman introduced:

H. F. No. 635, A bill for an act relating to motor vehicles; providing for determination of base value of motor vehicle for purposes of registration tax; amending Minnesota Statutes 1994, section 168.013, subdivision 1a.

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

Erhardt, Seagren and Van Dellen introduced:

H. F. No. 636, A bill for an act relating to taxation; property; reducing the class rates for noncommercial seasonal residential recreational property; amending Minnesota Statutes 1994, sections 273.13, subdivision 25; and 273.1398, subdivision 1.

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

Jennings, Winter, Jacobs, Ozment and Olson, E., introduced:

H. F. No. 637, A bill for an act relating to taxation; property; allowing for a market value exclusion for electric power generation facilities based on facility efficiency; proposing coding for new law in Minnesota Statutes, chapter 272.

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

Jennings, Ozment, Jacobs, Kelso and Olson, E., introduced:

H. F. No. 638, A bill for an act relating to utilities; energy; excepting cogeneration plants from the requirements of the power plant siting act; preempting local siting regulations for cogeneration plants; amending Minnesota Statutes 1994, sections 116C.52, subdivision 5; and 116C.61, subdivision 1.

The bill was read for the first time and referred to the Committee on Regulated Industries and Energy.

Jennings, Ozment, Jacobs, Kelso and Olson, E., introduced:

H. F. No. 639, A bill for an act relating to utilities; exempting cogeneration plants from the certificate of need process; requiring exempted cogeneration plants to waive federal rights which force utilities to purchase power generated by the exempted plant; amending Minnesota Statutes 1994, section 216B.243, subdivision 8.

The bill was read for the first time and referred to the Committee on Regulated Industries and Energy.

Murphy introduced:

H. F. No. 640, A bill for an act relating to real property; providing an exception for certain requirements relating to notice of adverse claims on registered property; amending Minnesota Statutes 1994, section 508.70, subdivision 2.

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

Brown; Jennings; Anderson, I.; Sviggum and Pawlenty introduced:

H. F. No. 641, A bill for an act relating to public administration; providing a deadline for certain actions by state and local government agencies; proposing coding for new law in Minnesota Statutes, chapter 15.

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

Winter; Johnson, R.; Perlt and McGuire introduced:

H. F. No. 642, A bill for an act relating to workers' compensation; modifying provisions relating to insurance, procedures and benefits; providing penalties; appropriating money; amending Minnesota Statutes 1994, sections 79.01, subdivision 1; 79.074, by adding subdivisions; 79.252, subdivisions 2, 5, and by adding subdivisions; 79.50; 79.59, subdivision 4; 79A.01, subdivision 4; 79A.02, subdivisions 1 and 2; 79A.04, subdivisions 2 and 9; 79A.15; 175.007, subdivisions 1 and 3; 176.011, subdivisions 15 and 18; 176.021, subdivisions 3 and 3a; 176.061, subdivision 10; 176.101, subdivisions 1, 2, 5, 6, and by adding a subdivision; 176.102, subdivisions 1, 2, 4, 11, and by adding a subdivision; 176.105, subdivisions 2 and 4; 176.106, subdivision 7; 176.135, subdivision 2; 176.178; 176.179; 176.221, subdivision 6a; 176.225, by adding subdivisions; 176.238, subdivision 6; 176.645, subdivision 1; 176.66, subdivision 11; 176.83, subdivisions 1, 2, and 5; and 268.08, subdivision 3; proposing coding for new law in Minnesota Statutes, chapters 79; and 79A; repealing Minnesota Statutes 1994, sections 176.011, subdivisions 25 and 26; and 176.101, subdivisions 3a, 3b, 3c, 3d, 3e, 3f, 3g, 3h, 3i, 3j, 3k, 3l, 3m, 3n, 3o, 3p, 3q, 3r, 3s, 3t, and 3u; Minnesota Rules, parts 5220.0100 to 5220.1900; 5220.2500 to 5220.2940; 5221.0100 to 5221.0700; 5221.6010 to 5221.8900; and 5223.0300 to 5223.0650.

The bill was read for the first time and referred to the Committee on Labor-Management Relations.

Bishop, Munger, Kalis, Lynch and Trimble introduced:

H. F. No. 643, A bill for an act relating to water; requiring analysis of water quality and quantity data; requiring evaluation of the effectiveness of best management practices; authorizing increased well sealing cost-share grants; appropriating money; amending Minnesota Statutes 1994, sections 103A.43; 103H.151, by adding a subdivision; and 103I.331, subdivisions 4 and 6.

The bill was read for the first time and referred to the Committee on Environment and Natural Resources.

Peterson, Luther and Schumacher introduced:

H. F. No. 644, A bill for an act proposing an amendment to the Minnesota Constitution; adding a section to article I; establishing the right of a citizen to keep and bear arms.

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

McGuire; Swenson, D.; Rhodes and Greiling introduced:

H. F. No. 645, A bill for an act relating to alcoholic beverages; requiring the commissioner of public safety to prescribe standards for identification of beer kegs; requiring retailers of beer to maintain records of sale of beer kegs and to record the identification number of each beer keg sold; prescribing penalties; proposing coding for new law in Minnesota Statutes, chapter 340A.

The bill was read for the first time and referred to the Committee on Regulated Industries and Energy.

Bishop, Skoglund and Murphy introduced:

H. F. No. 646, A bill for an act relating to public safety; regulating law enforcement reports filed with commissioner of public safety; amending Minnesota Statutes 1994, sections 626.553, subdivision 2; and 626.5531.

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

Jefferson, Osthoff, Rhodes, Simoneau and Pelowski introduced:

H. F. No. 647, A bill for an act relating to elections; allowing time off to vote in elections to fill a vacancy in the legislature; amending Minnesota Statutes 1994, section 204C.04, subdivision 2.

The bill was read for the first time and referred to the Committee on General Legislation, Veterans Affairs and Elections.

Pugh, Abrams, Farrell and Smith introduced:

H. F. No. 648, A bill for an act relating to courts; abolishing the office of court referee; authorizing new judgeships to replace referees; appropriating money; amending Minnesota Statutes 1994, sections 2.722, subdivision 1; 3.16; 15A.083, subdivision 6; 43A.02, subdivision 25; 43A.08, subdivision 1; 43A.24, subdivision 2; 60B.35, subdivision 5; 60B.41, subdivision 2; 72A.25, subdivision 3; 176.301, subdivision 1; 209.06, subdivision 1; 260.111, subdivision 3; 260.151, subdivision 2; 260.171, subdivision 2; 260.172, subdivision 4; 260.185, subdivision 3; 260.311, subdivision 5; 383A.281, subdivision 13; 383A.286, subdivision 2; 383C.035; 386.45; 480.15, subdivision 10a; 480.181, subdivision 1; 481.15, subdivision 2; 484.013, subdivisions 3 and 4; 484.64, subdivision 3; 484.65, subdivision 3; 484.70, subdivision 1; 484.75; 486.02; 518.13, subdivision 4; 518.18; 518.191, subdivision 2; 518.5511, subdivisions 2 and 3; 518B.01, subdivisions 3 and 6; 525.05; 525.07; 525.08; 540.12; 546.37; 550.135, subdivision 7; 551.04, subdivision 7; 571.75, subdivision 3; 575.02; 575.03; 575.04; 588.20; 609.415, subdivision 1; 609.506, subdivision 3; 609.5312, subdivision 3; 609.748, subdivision 5; and 609.825, subdivision 1; repealing Minnesota Statutes 1994, sections 260.031; 484.013, subdivisions 5 and 6; 484.65, subdivisions 7, 8, 9, and 10; 484.70, subdivisions 6 and 7; 525.10, subdivisions 2 and 3; 525.101; 525.102; 525.103; and 546.33.

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

Jaros, Huntley, Rukavina, Bakk and Tomassoni introduced:

H. F. No. 649, A bill for an act relating to state government; increasing the membership of the designer selection board; requiring representation on the board from each congressional district; amending Minnesota Statutes 1994, section 16B.33, subdivision 2.

The bill was read for the first time and referred to the Committee on Commerce, Tourism and Consumer Affairs.

Long, Jacobs, Macklin, Abrams and Milbert introduced:

H. F. No. 650, A bill for an act relating to taxation; property; reducing the class rates applied to noncommercial seasonal recreational residential property; amending Minnesota Statutes 1994, section 273.13, subdivision 25.

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

Macklin, Carruthers, Skoglund and Pugh introduced:

H. F. No. 651, A bill for an act relating to probate; clarifying and correcting provisions of the uniform probate code; expanding authority for safe deposit box searches, division and merger of trusts, and granting of power-of-attorney to spouses in certain cases; amending Minnesota Statutes 1994, sections 55.10, subdivision 4; 501B.16; 507.02; 519.06; 519.07; 523.23, subdivision 1; 523.24, subdivision 1; 524.1-201; 524.2-508; 524.3-914; 524.3-916; 524.3-1001; 524.3-1008; 524.3-1201; 524.3-1202; and 524.3-1203; proposing coding for new law in Minnesota Statutes, chapters 501B; and 524; repealing Minnesota Statutes 1994, sections 525.145; and 525.51.

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

Kraus introduced:

H. F. No. 652, A bill for an act relating to tax increment financing; providing for the establishment of tax increment financing districts in the cities of Glenville and Albert Lea; exempting certain districts in the city of Albert Lea from certain aid reductions.

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

Perlt and Larsen introduced:

H. F. No. 653, A bill for an act relating to the city of Oakdale; exempting certain tax increment financing districts from certain restrictions.

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

Lieder, Schumacher, Tunheim, Finseth and Onnen introduced:

H. F. No. 654, A bill for an act relating to towns; clarifying authority of town board to alter or vacate town roads dedicated by plat; clarifying procedures; amending Minnesota Statutes 1994, sections 164.06, subdivision 1; and 164.07, subdivision 1.

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

Dehler introduced:

H. F. No. 655, A bill for an act relating to intoxicating liquor; removing prohibition against the keeping of dice on licensed premises; authorizing the keeping and use of dice on licensed premises under certain circumstances; amending Minnesota Statutes 1994, section 340A.410, subdivision 5.

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

Entenza, Greiling, Hausman, Clark and Orfield introduced:

H. F. No. 656, A bill for an act proposing an amendment to the Minnesota Constitution, article I, by adding a section; providing for equality of rights under the law for men and women.

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

Simoneau, Jennings, Pelowski, Solberg and Ness introduced:

H. F. No. 657, A bill for an act relating to insurance; no-fault auto; modifying the limitation on damages for noneconomic detriment; amending Minnesota Statutes 1994, section 65B.51, subdivision 3.

The bill was read for the first time and referred to the Committee on Financial Institutions and Insurance.

Smith, Holsten, Hackbarth, Workman and Macklin introduced:

H. F. No. 658, A bill for an act relating to education; removing certain state education mandates unless they are fully funded; amending Minnesota Statutes 1994, sections 124.225, subdivision 7f; 124A.225, subdivision 1; and 124A.29, subdivisions 1 and 2; repealing Minnesota Statutes 1994, section 124A.225, subdivisions 2, 3, 4, 5, and 6.

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

Dehler introduced:

H. F. No. 659, A bill for an act relating to crime; prohibiting fleeing a peace officer by means of a motor vehicle in a manner that makes it imminently dangerous to others; prescribing penalties; amending Minnesota Statutes 1994, section 609.487, by adding a subdivision.

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

Dehler introduced:

H. F. No. 660, A bill for an act relating to lawful gambling; regulating expenditures of gross profits from lawful gambling; allowing certain expenditures on items not directly related to the conduct of lawful gambling; amending Minnesota Statutes 1994, sections 349.12, subdivision 3a; and 349.15, subdivision 1.

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

Murphy, Huntley, Jaros and Tomassoni introduced:

H. F. No. 661, A bill for an act relating to commerce; restraint of trade; repealing price markup provisions in the sales discrimination law; amending Minnesota Statutes 1994, section 325D.06; and repealing Minnesota Statutes 1994, section 325D.08.

The bill was read for the first time and referred to the Committee on Commerce, Tourism and Consumer Affairs.

Simoneau introduced:

H. F. No. 662, A bill for an act relating to elections; moving precinct caucuses to a Saturday in March; requiring major party candidates to provide proof of party support before being listed on the party's primary ballot; permitting endorsed candidates to include endorsement on the partisan primary ballot; moving the state primary election to June; amending Minnesota Statutes 1994, sections 10A.31, subdivision 6; 10A.322, subdivision 1; 10A.323; 202A.14, subdivision 1; 202A.19, subdivisions 1, 3, 5, and 6; 204B.06, subdivision 2; 204B.33; 204D.03, subdivision 1; and 204D.08, subdivision 4.

The bill was read for the first time and referred to the Committee on General Legislation, Veterans Affairs and Elections.

Tomassoni; Rukavina; Johnson, R.; Solberg and Anderson, I., introduced:

H. F. No. 663, A bill for an act proposing an amendment to the Minnesota Constitution, article I; adding a section to provide that the right to keep and bear arms shall not be abridged.

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

Jefferson introduced:

H. F. No. 664, A bill for an act relating to animals; prohibiting manufactured home parks from prohibiting senior citizens from keeping pet dogs, cats, and birds on the park premises; amending Minnesota Statutes 1994, section 327.27, by adding a subdivision.

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

Pawlenty, McCollum, Kelley, Leppik and Goodno introduced:

H. F. No. 665, A bill for an act relating to education; establishing a commission on campus closure and reorganization; specifying membership and duties; appropriating money.

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

Entenza introduced:

H. F. No. 666, A bill for an act relating to taxation; providing a property tax exemption for federal land used for cottage and camp purposes; amending Minnesota Statutes 1994, section 272.02, subdivision 1.

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

Long, Osthoff, Pawlenty, Jefferson and McCollum introduced:

H. F. No. 667, A bill for an act relating to elections; campaign finance; changing the treatment of spending limits and public subsidy in certain cases; amending Minnesota Statutes 1994, section 10A.25, subdivision 10.

The bill was read for the first time and referred to the Committee on General Legislation, Veterans Affairs and Elections.

Tuma; Anderson, R., and Boudreau introduced:

H. F. No. 668, A bill for an act relating to health occupations and professions; board of psychology; eliminating the written declaration of intent filing requirement for persons with a master's degree who are seeking licensure as a licensed psychologist; amending Minnesota Statutes 1994, section 148.921, subdivision 2.

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

Pugh, Jefferson, Smith and Johnson, R., introduced:

H. F. No. 669, A bill for an act relating to retirement; prohibiting the payment of survivor benefits to a survivor who has feloniously caused the death of a member of a public pension plan; amending Minnesota Statutes 1994, sections 3A.04, by adding a subdivision; 352.12, by adding a subdivision; 352B.11, by adding a subdivision; 352C.04, by adding a subdivision; 352D.075, by adding a subdivision; 353.657, by adding a subdivision; 353D.07, by adding a subdivision; 354A.35, by adding a subdivision; 356.303, by adding a subdivision; 422A.23, by adding a subdivision; and 490.124, by adding a subdivision; proposing coding for new law in Minnesota Statutes, chapters 353; 353C; and 354.

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

Pelowski and Johnson, V., introduced:

H. F. No. 670, A bill for an act relating to Winona county; authorizing Winona county to negotiate and enter into a contract for deed with Winona county developmental achievement center.

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

Anderson, R.; Ozment; Greenfield; Lourey and Marko introduced:

H. F. No. 671, A bill for an act relating to family services; expanding state support for programs for senior citizens; appropriating money.

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

Wagenius, Munger, Ozment and Anderson, R., introduced:

H. F. No. 672, A bill for an act relating to the environment; implementing the transfer of solid waste management duties of the metropolitan council to the office of environmental assistance; providing for the management of waste; providing penalties; amending Minnesota Statutes 1992, section 115A.33, as reenacted; Minnesota Statutes 1994, sections 115.071, subdivision 1; 115A.055; 115A.07, subdivision 3; 115A.072, subdivisions 1, 3, and 4; 115A.12; 115A.14, subdivision 4; 115A.15, subdivision 9; 115A.191, subdivisions 1 and 2; 115A.32; 115A.411; 115A.42; 115A.45; 115A.46, subdivisions 1 and 5; 115A.47, by adding a subdivision; 115A.55, by adding a subdivision; 115A.5501, subdivisions 2, 3, and 4; 115A.5502; 115A.551, subdivisions 2a, 4, 5, 6, and 7; 115A.554; 115A.557, subdivisions 3 and 4; 115A.558; 115A.63, subdivision 3; 115A.84, subdivision 3; 115A.86, subdivision 2; 115A.919, subdivision 3; 115A.921, subdivision 1; 115A.923, subdivision 1; 115A.9302, subdivisions 1 and 2; 115A.951, subdivision 4; 115A.965, subdivision 1; 115A.97, subdivisions 5 and 6; 115A.981, subdivision 3; 116.07, subdivision 4j; 116.072; 400.16; 400.161; 473.149, subdivisions 1, 2d, 2e, 3, 4, and 6; 473.151; 473.516, subdivision 2; 473.801, subdivision 1, and by adding subdivisions; 473.8011; 473.803, subdivisions 1, 1c, 2, 2a, 3, 4, and 5; 473.804; 473.811, subdivisions 1, 4a, 5, 5c, 7, and 8; 473.813, subdivision 2; 473.823, subdivisions 3, 5, and 6; 473.843, subdivision 1; 473.844, subdivisions 1a and 4; 473.8441, subdivisions 2, 4, and 5; 473.845, subdivision 4; 473.846; and 473.848; Laws 1994, chapter 628, article 3, section 209; proposing coding for new law in Minnesota Statutes, chapter 480; repealing Minnesota Statutes 1994, sections 115A.81, subdivision 3; 115A.90, subdivision 3; 116.94; 383D.71, subdivision 2; 473.149, subdivisions 2, 2a, 2c, 2f, and 5; 473.181, subdivision 4; and 473.803, subdivisions 1b and 1e.

The bill was read for the first time and referred to the Committee on Environment and Natural Resources.

Huntley, Davids and Simoneau introduced:

H. F. No. 673, A bill for an act relating to insurance; regulating risk-based capital for insurers; enacting the model act of the National Association of Insurance Commissioners; proposing coding for new law in Minnesota Statutes, chapter 60A.

The bill was read for the first time and referred to the Committee on Financial Institutions and Insurance.

Olson, E.; Tunheim; Lieder; Johnson, R., and Finseth introduced:

H. F. No. 674, A bill for an act relating to education; authorizing a grant for the North Central Minnesota Educational Telecommunication Consortium to establish an interactive television network.

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

Knight introduced:

H. F. No. 675, A bill for an act relating to crimes; lowering the per se level of alcohol concentration from 0.10 to 0.08 for driving, snowmobiling, motorboating, and hunting while intoxicated; amending Minnesota Statutes 1994, sections 84.81, by adding subdivisions; 84.91, subdivision 1; 84.911, subdivision 1; 86B.005, by adding subdivisions; 86B.331, subdivisions 1 and 4; 86B.335, subdivision 1; 97A.015, by adding subdivisions; 97B.065, subdivision 1; 97B.066, subdivision 1; 169.01, subdivision 61; 169.121, subdivisions 1, 2, and 10a; 169.1211, subdivisions 1 and 3; 169.123, subdivisions 2, 4, 5a, and 6; and 609.21.

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

McGuire introduced:

H. F. No. 676, A bill for an act relating to corrections; expanding eligibility for the work release program to allow inmates to continue caring for their children who have special needs; amending Minnesota Statutes 1994, section 631.425, subdivisions 1 and 3.

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

Tomassoni, Davids and Simoneau introduced:

H. F. No. 677, A bill for an act relating to insurance; regulating coverages, notice provisions, enforcement provisions, fees, licensees; making technical changes; amending Minnesota Statutes 1994, sections 60A.06, subdivision 3; 60A.085; 60A.111, subdivision 2; 60A.124; 60A.23, subdivision 8; 60A.26; 60A.951, subdivision 2; 60K.03, subdivision 7; 60K.14, subdivision 1; 61A.03, subdivision 1; 61A.071; 61A.092, subdivisions 3 and 6; 61B.28, subdivisions 8 and 9; 62A.042; 62A.135; 62A.136; 62A.141; 62A.146; 62A.148; 62A.17, subdivision 1; 62A.20, subdivision 1; 62A.21, subdivision 2a; 62A.31, subdivisions 1h and 1i; 62A.46, subdivision 2, and by adding a subdivision; 62A.48, subdivisions 1 and 2; 62A.50, subdivision 3; 62C.14, subdivision 14; 62C.142, subdivision 2a; 62D.101, subdivision 2a; 62E.02, subdivision 7; 62F.02, subdivision 2; 62I.09, subdivision 2; 62L.02, subdivision 16; 62L.03, subdivision 5; 65A.01, by adding a subdivision; 65B.06, subdivision 3; 65B.08, subdivision 1; 65B.09, subdivision 1; 65B.10, subdivision 3; 65B.61, subdivision 1; 72A.20, by adding a subdivision; 72B.05; 79.251, subdivision 5, and by adding a subdivision; 79A.01, by adding a subdivision; 79A.02, subdivision 4; 79A.03, by adding a subdivision; 176.181, subdivision 2; 299F.053, subdivision 2; and 515A.3-112; proposing coding for new law in Minnesota Statutes, chapter 62A; repealing Minnesota Statutes 1994, section 65B.07, subdivision 5.

The bill was read for the first time and referred to the Committee on Financial Institutions and Insurance.

Clark; Carlson; Johnson, A., and Dawkins introduced:

H. F. No. 678, A bill for an act relating to education; requiring development of a model instruction program in translating and interpreting services; appropriating money; proposing coding for new law in Minnesota Statutes, chapter 136E.

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

Winter and Greenfield introduced:

H. F. No. 679, A bill for an act relating to education; allowing the residential program operated by independent school district No. 518 to remain open until June 1, 1996; amending Laws 1994, chapter 643, section 14, subdivision 8.

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

Huntley, Jaros and Munger introduced:

H. F. No. 680, A bill for an act relating to local government; authorizing home rule charter cities to issue tax anticipation certificates; proposing coding for new law in Minnesota Statutes, chapter 410.

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

Milbert and Pugh introduced:

H. F. No. 681, A bill for an act relating to highways; requiring construction of a noise barrier on legislative route No. 115 in Inver Grove Heights.

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

Carruthers, Simoneau, Davids, McCollum and Haas introduced:

H. F. No. 682, A bill for an act relating to health; modifying organizational provisions for certain health plan carriers; amending Minnesota Statutes 1994, sections 62D.02, subdivision 4; 62D.03, subdivision 1; 62D.04, subdivision 1; and 62N.06, subdivision 1.

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

Milbert; Pugh; Johnson, V., and Anderson, I., introduced:

H. F. No. 683, A bill for an act relating to game and fish; extending protected status to and authorizing seasons on certain wild animals; dating of short-term nonresident angling licenses; clarifying the age for trapping without a license; posting of waters to prohibit fishing or motorboat operation; adjusting opening and closing dates of various seasons for taking fish; removing time limits on sale of fish by commercial licensees; amending Minnesota Statutes 1994, sections 97A.015, subdivisions 45 and 53; 97A.411, subdivision 1; 97A.451, subdivision 3; 97B.605; 97B.631; 97B.655, subdivision 1; 97C.025; 97C.345, subdivisions 1, 2, and 3; 97C.371, subdivision 4; 97C.395, subdivision 1; and 97C.821; proposing coding for new law in Minnesota Statutes, chapter 97B; repealing Minnesota Statutes 1994, section 97B.301, subdivision 5.

The bill was read for the first time and referred to the Committee on Environment and Natural Resources.

Van Engen, Jacobs, Daggett and Dauner introduced:

H. F. No. 684, A bill for an act relating to taxation; property; reducing the time period required for certain recreational property occupied by a relative to qualify as homestead; amending Minnesota Statutes 1994, section 273.124, subdivision 1.

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

Simoneau, Lourey and Sviggum introduced:

H. F. No. 685, A bill for an act relating to workers' compensation; modifying provisions relating to self-insurance; amending Minnesota Statutes 1994, section 79A.01, subdivision 4; 79A.02, subdivisions 1 and 2; 79A.04, subdivisions 2 and 9; 79A.09, subdivision 4; and 79A.15.

The bill was read for the first time and referred to the Committee on Labor-Management Relations.

Lourey, Cooper and Greenfield introduced:

H. F. No. 686, A bill for an act relating to health; MinnesotaCare; providing portability of coverage into the comprehensive health association; facilitating use of the small employer market by employers with two related employees; regulating premium billing practices that facilitate discrimination; permitting MinnesotaCare family coverage for families of certain children; amending Minnesota Statutes 1994, sections 62E.14, subdivision 3; 62L.02, subdivision 26; 62L.03, subdivision 3; 62L.08, by adding a subdivision; and 256.9354, subdivision 4.

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

Lourey introduced:

H. F. No. 687, A bill for an act relating to insurance; accident and sickness; regulating grace periods for Medicare supplement policies; amending Minnesota Statutes 1994, section 62A.04, subdivision 2.

The bill was read for the first time and referred to the Committee on Financial Institutions and Insurance.

Dauner introduced:

H. F. No. 688, A bill for an act relating to retirement; directing payment of disability benefits to a certain disabled member of the teachers retirement association.

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

Pugh introduced:

H. F. No. 689, A bill for an act relating to retirement; making the surviving spouses of certain police officers eligible for survivor benefits from the public employees retirement association police and fire fund.

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

Cooper, Onnen, Lourey, Van Engen and Huntley introduced:

H. F. No. 690, A bill for an act relating to health; expanding the University of Minnesota-Duluth medical education program; requesting the University of Minnesota-Duluth School of Medicine to apply for a federal area health education center program grant; establishing a physician substitute demonstration project for rural communities; expanding the size of the rural physician associate program; appropriating money; proposing coding for new law in Minnesota Statutes, chapter 137.

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

Koppendrayer introduced:

H. F. No. 691, A bill for an act relating to education; modifying procedure for teacher contracts; amending Minnesota Statutes 1994, sections 179A.16, by adding a subdivision; and 179A.17, subdivision 1; repealing Minnesota Statutes 1994, section 124A.22, subdivision 2a.

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

Jennings; Anderson, R.; Lourey; Otremba and Bradley introduced:

H. F. No. 692, A bill for an act relating to human services; adjusting reimbursement rates for special transportation services; amending Minnesota Statutes 1994, section 256B.0625, subdivision 17.

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

Dehler introduced:

H. F. No. 693, A bill for an act relating to elections; clarifying the regulation of signs near polling places; amending Minnesota Statutes 1994, section 211B.11, subdivision 1.

The bill was read for the first time and referred to the Committee on General Legislation, Veterans Affairs and Elections.

Huntley, Jaros, Rukavina, Solberg and Tomassoni introduced:

H. F. No. 694, A bill for an act relating to human services; modifying child care programs and county contribution; amending Minnesota Statutes 1994, section 256H.12, subdivision 3.

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

Solberg and Rest introduced:

H. F. No. 695, A bill for an act relating to employment; ratifying certain labor agreements.

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

Wagenius; Johnson, A.; Entenza and Leppik introduced:

H. F. No. 696, A bill for an act relating to education; modifying compulsory education requirements for children under the age of seven; amending Minnesota Statutes 1994, section 120.101, subdivision 5.

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

Simoneau, Mulder and Kalis introduced:

H. F. No. 697, A bill for an act relating to insurance; long-term care; permitting the sale of policies with longer waiting periods with disclosure to the purchaser; amending Minnesota Statutes 1994, sections 62A.48, subdivision 1; and 62A.50, subdivision 3.

The bill was read for the first time and referred to the Committee on Financial Institutions and Insurance.

McCollum, Bertram, Opatz and Rostberg introduced:

H. F. No. 698, A bill for an act relating to veterans; eliminating certain duties of the board of directors of the Minnesota veterans homes; authorizing expansion of the dementia unit at the veterans home in Silver Bay; amending Minnesota Statutes 1994, sections 198.003, subdivision 1; and 198.35, by adding a subdivision.

The bill was read for the first time and referred to the Committee on General Legislation, Veterans Affairs and Elections.

Smith, Munger, Lieder, Hugoson and Tunheim introduced:

H. F. No. 699, A bill for an act relating to highways; allowing appeal of decision by county board to deny request to designate a natural preservation route; amending Minnesota Statutes 1994, section 162.021, subdivision 5.

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

Pugh, Milbert, Ozment, Dempsey and Tompkins introduced:

H. F. No. 700, A bill for an act relating to Dakota county; appropriating money to Dakota county to reimburse the county for costs of airport planning arising from the dual-track international airport planning program.

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

Pugh, Bishop, Abrams, Skoglund and Kahn introduced:

H. F. No. 701, A bill for an act relating to state government; setting salaries of administrative law judges; amending Minnesota Statutes 1994, sections 15A.081, subdivision 1; 15A.083, subdivisions 6a, 7, and by adding a subdivision; and 43A.18, subdivision 4.

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

Lieder; Tunheim; Tomassoni; Johnson, A., and Koppendrayer introduced:

H. F. No. 702, A bill for an act relating to traffic regulations; allowing school authorities to appoint nonpupil adults to school safety patrols; amending Minnesota Statutes 1994, section 126.15, subdivision 2.

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

Tomassoni, Skoglund, Luther, Murphy and Mariani introduced:

H. F. No. 703, A bill for an act relating to crime prevention; establishing a male responsibility and fathering grant program; appropriating money.

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

Marko, Delmont, Ozment, Opatz and Perlt introduced:

H. F. No. 704, A bill for an act relating to state government; revising certain requirements related to consultant contracts; transferring duties from the commissioner of administration to the commissioner of finance; amending Minnesota Statutes 1994, sections 3.98, by adding a subdivision; and 16B.17, subdivision 4.

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

Mares; Swenson, H.; Seagren and Koppendrayer introduced:

H. F. No. 705, A bill for an act relating to children's services; establishing the department of children and education services; making related changes; appropriating money; amending Minnesota Statutes 1994, sections 126B.02, subdivision 1, and by adding a subdivision; 126B.03, subdivision 1; 126B.04; and 126B.05; proposing coding for new law in Minnesota Statutes, chapter 126B; proposing coding for new law as Minnesota Statutes, chapter 119A; repealing Minnesota Statutes 1994, sections 121.02, subdivisions 1, 2a, and 3; 121.03; 121.04, subdivision 2; and 126B.02, subdivisions 2, 3, and 4.

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

Huntley, Jaros and Munger introduced:

H. F. No. 706, A bill for an act relating to public improvements; appropriating bond proceeds for improvements to the Hartley Nature Center in Duluth.

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

Bettermann and Tuma introduced:

H. F. No. 707, A bill for an act relating to education; appropriating money for post-secondary education and related purposes to the higher education coordinating board, Minnesota state colleges and universities, University of Minnesota, and the Mayo medical foundation, with certain conditions; transferring administration of summer scholarship program; providing standards for teacher licensure; clarifying cost of attendance for student grants; establishing early retirement for Minnesota state colleges and universities employees; amending Minnesota Statutes 1994, sections 126.56, subdivisions 4a, 5, and 7; and 136A.121, subdivision 6; proposing coding for new law in Minnesota Statutes, chapter 135A; repealing Laws 1993, First Special Session chapter 2, article 1, section 9, subdivision 6.

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

Huntley, Cooper, Worke, Bertram and Ness introduced:

H. F. No. 708, A bill for an act relating to health; MinnesotaCare; repealing the regulated all-payer option; modifying tax payment procedures; amending Minnesota Statutes 1994, sections 62J.017; 62J.04, subdivision 1a; 62J.09, subdivision 1a; 62J.152, subdivision 5; 62J.48; 62J.65; 62N.05, subdivision 2; 62Q.01, subdivisions 3 and 4; 62Q.30; 62Q.41; and 295.582; repealing Minnesota Statutes 1994, sections 62J.152, subdivision 6; 62P.01; 62P.02; 62P.03; 62P.04; 62P.05; 62P.07; 62P.09; 62P.11; 62P.13; 62P.15; 62P.17; 62P.19; 62P.21; 62P.23; 62P.25; 62P.27; 62P.29; 62P.31; and 62P.33.

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

Tunheim; Anderson, I.; Sviggum; Finseth and Wenzel introduced:

H. F. No. 709, A bill for an act relating to property rights; requiring the attorney general to review proposed rules for potential to result in "takings" of private property; establishing a cause of action for reduction in value of private property as a result of governmental regulation; proposing coding for new law in Minnesota Statutes, chapters 14; and 557.

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

Carruthers, Carlson and Luther introduced:

H. F. No. 710, A bill for an act relating to education; increasing the general formula allowance, training and experience revenue, and transportation revenue by inflationary amounts; amending Minnesota Statutes 1994, sections 124.225, subdivisions 3a, 7b, and 7d; and 124A.22, subdivisions 2 and 4.

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

Carruthers, Carlson and Luther introduced:

H. F. No. 711, A bill for an act relating to education; modifying the state aid for school district tax abatements; amending Minnesota Statutes 1994, section 124A.032.

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

Luther, Carruthers, Haas, Clark and Anderson, I., introduced:

H. F. No. 712, A bill for an act relating to housing; establishing a rental tax equity pilot project in the city of Brooklyn Park; appropriating money.

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

Winter and Cooper introduced:

H. F. No. 713, A bill for an act relating to pollution control; permitting local governments to exercise certain feedlot regulatory authority; amending Minnesota Statutes 1994, section 116.07, subdivision 7.

The bill was read for the first time and referred to the Committee on Environment and Natural Resources.

Clark, Kinkel and Olson, E., introduced:

H. F. No. 714, A bill for an act relating to Indians; requiring the Indian affairs council to report on potentially offensive place names; requiring the commissioner of natural resources to change certain names of geographic features of the state.

The bill was read for the first time and referred to the Committee on Environment and Natural Resources.

Schumacher, Lieder, Tunheim, Finseth and Onnen introduced:

H. F. No. 715, A bill for an act relating to towns; providing for damage award to affected property owner when town board adopts a recorded town road map; amending Minnesota Statutes 1994, section 164.35, subdivision 4.

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

Olson, E.; Solberg; Kalis; Dauner and Bertram introduced:

H. F. No. 716, A bill for an act relating to property rights; requiring the attorney general to review proposed rules for potential to result in "takings" of private property; establishing a cause of action for reduction in value of private property as a result of governmental regulation; proposing coding for new law in Minnesota Statutes, chapters 14; and 557.

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

Cooper, Kalis, Molnau, Winter and Johnson, V., introduced:

H. F. No. 717, A bill for an act relating to towns; providing for official confirmation of certain old town roads that cross state lands; proposing coding for new law in Minnesota Statutes, chapter 84.

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

Johnson, R.; Hugoson; Peterson; Koppendrayer and Bakk introduced:

H. F. No. 718, A bill for an act relating to property rights; requiring the attorney general to review proposed rules for potential to result in "takings" of private property; establishing a cause of action for reduction in value of private property as a result of governmental regulation; proposing coding for new law in Minnesota Statutes, chapters 14; and 557.

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

Davids; Harder; Hackbarth; Swenson, H., and Osskopp introduced:

H. F. No. 719, A bill for an act relating to property rights; requiring the attorney general to review proposed rules for potential to result in "takings" of private property; establishing a cause of action for reduction in value of private property as a result of governmental regulation; proposing coding for new law in Minnesota Statutes, chapters 14; and 557.

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

The following messages were received from the Senate:

Mr Speaker:

I hereby announce the adoption by the Senate of the following House Concurrent Resolution, herewith returned:

House Concurrent Resolution No. 5, A house concurrent resolution relating to adjournment for more than three days.

Patrick E. Flahaven, Secretary of the Senate

Mr. Speaker:

I hereby announce the passage by the Senate of the following House File, herewith returned:

H. F. No. 29, A bill for an act relating to traffic regulations; repealing sunset provision concerning recreational vehicle combinations; amending Laws 1993, chapter 111, section 3.

Patrick E. Flahaven, Secretary of the Senate

Mr. Speaker:

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

S. F. No. 50.

Patrick E. Flahaven, Secretary of the Senate

S. F. No. 50, A bill for an act relating to highways; designating a bridge as the Betty Adkins Bridge; amending Minnesota Statutes 1994, section 161.14, by adding a subdivision.

The bill was read for the first time and referred to the Committee on Economic Development, Infrastructure and Regulation Finance.

H. F. No. 354, A bill for an act relating to utilities; allowing small gas utility franchises an exemption from rate regulation for incidental utility service; amending Minnesota Statutes 1994, section 216B.16, subdivision 12.

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 125 yeas and 0 nays as follows:

Those who voted in the affirmative were:

Abrams       Farrell      Knight       Munger       Seagren
Anderson, B. Finseth      Knoblach     Murphy       Skoglund
Anderson, R. Garcia       Koppendrayer Ness         Smith
Bakk         Girard       Kraus        Olson, M.    Solberg
Bertram      Goodno       Krinkie      Onnen        Sviggum
Bettermann   Greenfield   Larsen       Opatz        Swenson, D.
Boudreau     Greiling     Leighton     Orenstein    Swenson, H.
Bradley      Haas         Leppik       Orfield      Sykora
Broecker     Hackbarth    Lieder       Osskopp      Tomassoni
Brown        Harder       Lindner      Ostrom       Tompkins
Carlson      Hasskamp     Long         Otremba      Trimble
Carruthers   Hausman      Lourey       Ozment       Tuma
Clark        Holsten      Luther       Paulsen      Tunheim
Commers      Huntley      Lynch        Pawlenty     Van Dellen
Cooper       Jacobs       Macklin      Pellow       Van Engen
Daggett      Jaros        Mahon        Pelowski     Vickerman
Dauner       Jefferson    Mares        Perlt        Wagenius
Davids       Johnson, A.  Mariani      Peterson     Weaver
Dawkins      Johnson, R.  Marko        Pugh         Wejcman
Dehler       Johnson, V.  McCollum     Rest         Wenzel
Delmont      Kahn         McElroy      Rhodes       Winter
Dempsey      Kalis        McGuire      Rostberg     Wolf
Dorn         Kelley       Milbert      Rukavina     Worke
Entenza      Kelso        Molnau       Sarna        Workman
Erhardt      Kinkel       Mulder       Schumacher   Sp.Anderson,I

S. F. No. 44, A bill for an act relating to energy; extending the deadline for the initial report of the legislative electric energy task force; amending Minnesota Statutes 1994, section 216C.051, subdivision 5.

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 1 nay as follows:

Those who voted in the affirmative were:

Abrams       Farrell      Knight       Munger       Skoglund
Anderson, B. Finseth      Knoblach     Murphy       Smith
Anderson, R. Garcia       Koppendrayer Ness         Solberg
Bakk         Girard       Kraus        Olson, M.    Sviggum
Bertram      Goodno       Krinkie      Onnen        Swenson, D.
Bettermann   Greenfield   Larsen       Opatz        Swenson, H.
Boudreau     Greiling     Leighton     Orenstein    Sykora
Bradley      Haas         Leppik       Orfield      Tomassoni
Broecker     Hackbarth    Lieder       Ostrom       Tompkins
Brown        Harder       Lindner      Otremba      Trimble
Carlson      Hasskamp     Long         Ozment       Tuma
Carruthers   Hausman      Lourey       Paulsen      Tunheim
Clark        Holsten      Luther       Pawlenty     Van Dellen
Commers      Huntley      Lynch        Pellow       Van Engen
Cooper       Jacobs       Macklin      Pelowski     Vickerman
Daggett      Jaros        Mahon        Perlt        Wagenius
Dauner       Jefferson    Mares        Peterson     Weaver
Davids       Johnson, A.  Mariani      Pugh         Wejcman
Dawkins      Johnson, R.  Marko        Rest         Wenzel
Dehler       Johnson, V.  McCollum     Rhodes       Winter
Delmont      Kahn         McElroy      Rostberg     Wolf
Dempsey      Kalis        McGuire      Rukavina     Worke
Dorn         Kelley       Milbert      Sarna        Workman
Entenza      Kelso        Molnau       Schumacher   Sp.Anderson,I
Erhardt      Kinkel       Mulder       Seagren      

Osskopp                   

H. F. No. 226, A bill for an act relating to occupations and professions; requiring reporting of certain insurance settlements to board of medical practice; amending Minnesota Statutes 1994, sections 147.111, subdivision 5; and 147.161, subdivision 1.

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 123 yeas and 0 nays as follows:

Those who voted in the affirmative were:

Abrams       Garcia       Koppendrayer Ness         Smith
Anderson, B. Girard       Kraus        Olson, M.    Solberg
Anderson, R. Goodno       Krinkie      Onnen        Sviggum
Bakk         Greenfield   Larsen       Opatz        Swenson, D.
Bertram      Greiling     Leighton     Orenstein    Swenson, H.
JOURNAL OF THE HOUSE - 16th Day - Top of Page 277

Bettermann   Haas         Leppik       Orfield      Sykora
Boudreau     Hackbarth    Lieder       Osskopp      Tomassoni
Bradley      Harder       Lindner      Ostrom       Tompkins
Broecker     Hasskamp     Long         Otremba      Trimble
Brown        Hausman      Lourey       Ozment       Tuma
Carlson      Holsten      Luther       Paulsen      Tunheim
Carruthers   Huntley      Lynch        Pawlenty     Van Dellen
Clark        Jacobs       Macklin      Pellow       Van Engen
Commers      Jaros        Mahon        Pelowski     Vickerman
Cooper       Jefferson    Mares        Perlt        Wagenius
Daggett      Johnson, A.  Mariani      Peterson     Weaver
Dauner       Johnson, R.  Marko        Pugh         Wejcman
Davids       Johnson, V.  McCollum     Rest         Wenzel
Dawkins      Kahn         McElroy      Rhodes       Winter
Dehler       Kalis        McGuire      Rostberg     Wolf
Dorn         Kelley       Milbert      Rukavina     Worke
Entenza      Kelso        Molnau       Sarna        Workman
Erhardt      Kinkel       Mulder       Schumacher   Sp.Anderson,I
Farrell      Knight       Munger       Seagren      
Finseth      Knoblach     Murphy       Skoglund     

H. F. No. 231, A bill for an act relating to occupations and professions; board of medical practice; changing licensing requirements for foreign applicants; changing certain disciplinary procedures; amending Minnesota Statutes 1994, sections 147.037, subdivision 1; 147.091, subdivisions 1, 2, and 6; 147.121, subdivision 2; 148.70; and 148.72, subdivision 1; proposing coding for new law in Minnesota Statutes, chapter 147.

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 125 yeas and 1 nay as follows:

Those who voted in the affirmative were:

Abrams       Farrell      Knoblach     Olson, M.    Sviggum
Anderson, B. Finseth      Koppendrayer Onnen        Swenson, D.
Anderson, R. Garcia       Kraus        Opatz        Swenson, H.
Bakk         Girard       Krinkie      Orenstein    Sykora
Bertram      Goodno       Larsen       Orfield      Tomassoni
Bettermann   Greenfield   Leighton     Osskopp      Tompkins
Bishop       Greiling     Leppik       Ostrom       Trimble
Boudreau     Haas         Lieder       Otremba      Tuma
Bradley      Hackbarth    Lindner      Ozment       Tunheim
Broecker     Harder       Long         Paulsen      Van Dellen
Brown        Hasskamp     Lourey       Pawlenty     Van Engen
Carlson      Hausman      Luther       Pellow       Vickerman
Carruthers   Holsten      Lynch        Pelowski     Wagenius
Clark        Huntley      Macklin      Perlt        Weaver
Commers      Jacobs       Mahon        Peterson     Wejcman
Cooper       Jaros        Mares        Pugh         Wenzel
Daggett      Jefferson    Mariani      Rest         Winter
Dauner       Johnson, A.  Marko        Rhodes       Wolf
Davids       Johnson, R.  McCollum     Rostberg     Worke
Dawkins      Johnson, V.  McElroy      Rukavina     Workman
Dehler       Kahn         McGuire      Sarna        Sp.Anderson,I
Delmont      Kalis        Milbert      Schumacher   
Dempsey      Kelley       Molnau       Seagren      
Dorn         Kelso        Munger       Skoglund     
Entenza      Kinkel       Murphy       Smith        
Erhardt      Knight       Ness         Solberg      

Mulder                    

Pursuant to Rules of the House, the House resolved itself into the Committee of the Whole with Anderson, I., in the Chair for consideration of bills pending on General Orders of the day. After some time spent therein the Committee arose.

The Speaker resumed the Chair, whereupon the following recommendations of the Committee were reported to the House:

H. F. Nos. 37, 95, 358, 374 and 383 were recommended to pass.

H. F. No. 326 was recommended for progress.

H. F. No. 273 was recommended for re-referral to the Committee on Ways and Means.

On the motion of Carruthers, the report of the Committee of the Whole was adopted.

Onnen moved that the name of Dehler be added as an author on H. F. No. 235. The motion prevailed.

Osskopp moved that the name of Mulder be added as an author on H. F. No. 239. The motion prevailed.

Molnau moved that her name be stricken as an author on H. F. No. 248. The motion prevailed.

Erhardt moved that the name of Dehler be added as an author on H. F. No. 301. The motion prevailed.

Smith moved that the names of Leppik and Rhodes be added as authors on H. F. No. 302. The motion prevailed.

Cooper moved that the name of Dehler be added as an author on H. F. No. 306. The motion prevailed.

Orfield moved that the name of Long be added as an author on H. F. No. 431. The motion prevailed.

Lourey moved that the name of Huntley be added as an author on H. F. No. 516. The motion prevailed.

Bishop moved that the name of Murphy be added as an author on H. F. No. 550. The motion prevailed.

Mulder moved that the name of Clark be added as an author on H. F. No. 552. The motion prevailed.

Clark moved that the name of Mariani be added as an author on H. F. No. 582. The motion prevailed.

Orfield moved that the name of Carruthers be added as an author on H. F. No. 585. The motion prevailed.

Olson, E., moved that the following statement be printed in the Journal of the House: "It was my intention to vote in the affirmative on Thursday, February 9, 1995, when the vote was taken on the motion to recommend passage of H. F. No. 35." The motion prevailed.

Mulder moved that the following statement be printed in the Journal of the House: "It was my intention to vote in the affirmative on Monday, February 13, 1995, when the vote was taken on the final passage of H. F. No. 32." The motion prevailed.

Marko moved that the name of Delmont be stricken and the name of Workman be added as an author on H. F. No. 383. The motion prevailed.

Solberg moved that H. F. No. 355 be recalled from the Committee on Governmental Operations/State Government Finance Division and be re-referred to the Committee on Ways and Means. The motion prevailed.

Farrell moved that H. F. No. 610 be recalled from the Committee on Judiciary and be re-referred to the Committee on Education. The motion prevailed.

Weaver, Sviggum and Koppendrayer introduced:

House Resolution No. 1, A house resolution relating to management of house administrative functions.

Weaver moved that the rules be so far suspended that House Resolution No. 1 be now considered and be placed upon its adoption.

A roll call was requested and properly seconded.

The question was taken on the Weaver motion and the roll was called. There were 59 yeas and 64 nays as follows:

Those who voted in the affirmative were:

Abrams       Finseth      Krinkie      Onnen        Swenson, H.
Anderson, B. Girard       Larsen       Osskopp      Sykora
Bettermann   Goodno       Leppik       Ozment       Tompkins
Boudreau     Haas         Lindner      Paulsen      Tuma
Bradley      Hackbarth    Lynch        Pawlenty     Van Dellen
Broecker     Harder       Macklin      Pellow       Van Engen
Commers      Holsten      Mares        Rhodes       Vickerman
Daggett      Johnson, V.  McElroy      Rostberg     Weaver
Davids       Knight       Molnau       Seagren      Wolf
Dehler       Knoblach     Mulder       Smith        Worke
Dempsey      Koppendrayer Ness         Sviggum      Workman 
Erhardt      Kraus        Olson, M.    Swenson, D.  

Anderson, R. Farrell      Kelso        Munger       Sarna
Bakk         Greenfield   Kinkel       Murphy       Schumacher
Bertram      Greiling     Leighton     Opatz        Skoglund
Brown        Hasskamp     Lieder       Orenstein    Solberg
Carlson      Hausman      Long         Orfield      Tomassoni
Carruthers   Huntley      Lourey       Ostrom       Trimble
Clark        Jaros        Luther       Otremba      Tunheim
Cooper       Jefferson    Mahon        Pelowski     Wagenius
Dauner       Johnson, A.  Mariani      Perlt        Wejcman
Dawkins      Johnson, R.  Marko        Peterson     Wenzel
Delmont      Kahn         McCollum     Pugh         Winter
Dorn         Kalis        McGuire      Rest         Sp.Anderson,I
Entenza      Kelley       Milbert      Rukavina     

House Resolution No. 1 was referred to the Committee on Rules and Legislative Administration.

Carruthers moved that when the House adjourns today it adjourn until 2:30 p.m., Monday, February 20, 1995. The motion prevailed.

Carruthers moved that the House adjourn. The motion prevailed, and the Speaker declared the House stands adjourned until 2:30 p.m., Monday, February 20, 1995.

Edward A. Burdick, Chief Clerk, House of Representatives

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