The state Senate's higher-ed omnibus bill

A grab bag

The Senate’s higher-education omnibus bill (or “delete-everything amendment”) just came out. So far, no committee meetings are planned past Wednesday.

Here’s the text, which I got from the Senate Web site:

  KEY: stricken = old language to be removed    underscored = new language to be added


1.1Senator ……………….. moves to amend S.F. No. 1573 as follows:

1.2Delete everything after the enacting clause and insert:

1.3    “Section 1. Minnesota Statutes 2010, section 135A.25, subdivision 5, is amended to


1.5    Subd. 5. Bookstores; course materials. The University of Minnesota and private

1.6colleges are encouraged to comply with the requirements for instructors and bookstores

1.7under section 136F.58, subdivision subdivisions 2, 2a, and 3.

1.8    Sec. 2. Minnesota Statutes 2010, section 136F.58, is amended by adding a subdivision

1.9to read:

1.10    Subd. 2a. Course schedule and material list. (a) Each state college and university

1.11shall compile a course schedule indicating each course offered by the state college or

1.12university for each term and shall include with the course schedule a list of the required

1.13and recommended course materials that specifies, to the extent practicable, the information

1.14required in subdivision 3, paragraph (b).

1.15(b) At or before the time required by subdivision 3, paragraph (b), a state college or

1.16university shall publish course schedules and course material lists on the state college’s

1.17or university’s Web site.

1.18    Sec. 3. Minnesota Statutes 2010, section 136F.58, subdivision 3, is amended to read:

1.19    Subd. 3. Notice to purchase. (a) An instructor or department shall make reasonable

1.20efforts to notify a bookstore of the final order for required and recommended course

1.21material at least 30 45 days prior to the commencement of the term.

1.22    (b) The bookstore must make reasonable efforts to notify students of the following

1.23information concerning the required and recommended course material at least 15 30 days

1.24prior to the commencement of the term for which the course material is required including,

1.25but not limited to:

1.26    (1) the title, edition, author, and International Standard Book Number (ISBN) of

1.27the course material;

1.28    (2) the retail price charged in the college or university bookstore for the course

1.29material, including custom textbooks;

1.30    (3) whether the required course material is bundled with optional material, whether

1.31it can be unbundled, and the price for each bundled and unbundled component the name of

1.32the publisher of the course material except an international textbook purchased directly

1.33from a distributor where no publisher information is readily available; and

2.1    (4) whether the material is available in an alternative format and the cost for the

2.2alternatively formatted material.

2.3(c) For purposes of this subdivision, “custom textbooks” means course materials

2.4that are compiled by a publisher at the direction of a faculty member or, if applicable,

2.5the other adopting entity in charge of selecting course materials for courses taught at a

2.6state college or university. Custom textbooks may include items such as selections from

2.7original instructor materials, previously copyrighted publisher materials, copyrighted

2.8third-party works, or elements unique to a specific state college or university.

2.9    Sec. 4. Minnesota Statutes 2010, section 136F.71, subdivision 3, is amended to read:

2.10    Subd. 3. Interest income. Beginning July 1, 1997, Interest income attributable to

2.11general fund dedicated receipts of the board is appropriated to the board. The board shall

2.12allocate the income proportionately among the colleges and universities. The board shall

2.13report this income separately in its biennial budget requests.

2.14EFFECTIVE DATE.This section is effective July 1, 2012.

2.15    Sec. 5. Minnesota Statutes 2010, section 136F.71, is amended by adding a subdivision

2.16to read:

2.17    Subd. 5. Continued operation. Notwithstanding any other law to the contrary, to

2.18the extent that the board has receipts under this section sufficient to continue operations,

2.19the commissioner of management and budget shall provide the board with statewide

2.20systems services under section 16A.1286 and access to its funds as deemed necessary

2.21by the board to continue its operations. The board shall pay for the services received

2.22in accordance with section 16A.1286, including any administrative services necessary

2.23for the commissioner of management and budget to provide the statewide systems

2.24services. In addition, the board shall pay for treasury operations services provided by the

2.25commissioner of management and budget. Payments received by the commissioner of

2.26management and budget under this subdivision are appropriated to the Department of

2.27Management and Budget for the purposes of providing those services. The commissioner

2.28of management and budget may transfer payments received under this subdivision to the

2.29chief information officer and the commissioner of administration, if necessary.

2.30EFFECTIVE DATE.This section is effective July 1, 2012.

2.31    Sec. 6. Minnesota Statutes 2010, section 136F.98, subdivision 1, is amended to read:

3.1    Subdivision 1. Issuance of bonds. The Board of Trustees of the Minnesota State

3.2Colleges and Universities or a successor may issue revenue bonds under sections 136F.90

3.3to 136F.97 whose aggregate principal amount at any time may not exceed $300,000,000

3.4$405,000,000, and payable from the revenue appropriated to the fund established by

3.5section 136F.94, and use the proceeds together with other public or private money that

3.6may otherwise become available to acquire land, and to acquire, construct, complete,

3.7remodel, and equip structures or portions thereof to be used for dormitory, residence hall,

3.8student union, food service, parking purposes, or for any other similar revenue-producing

3.9building or buildings of such type and character as the board finds desirable for the good

3.10and benefit of the state colleges and universities. Before issuing the bonds or any part

3.11of them, the board shall consult with and obtain the advisory recommendations of the

3.12chairs of the house of representatives Ways and Means Committee and the senate Finance

3.13Committee about the facilities to be financed by the bonds.

3.14    Sec. 7. Minnesota Statutes 2010, section 136G.03, subdivision 7, is amended to read:

3.15    Subd. 7. Contingent account owner. “Contingent account owner” means the

3.16individual person designated as the account owner, either in the participation agreement or

3.17pursuant to a separate Minnesota college savings plan form, in the event of the death of

3.18the account owner.

3.19    Sec. 8. Minnesota Statutes 2010, section 137.022, subdivision 4, is amended to read:

3.20    Subd. 4. Mineral research; scholarships. (a) All income credited after July 1,

3.211992, to the permanent university fund from royalties for mining under state mineral

3.22leases from and after July 1, 1991, must be allocated as provided in this subdivision.

3.23(b)(1) Fifty Beginning January 1, 2012, 50 percent of the income must be allocated

3.24according to this paragraph. One-half of the income under this paragraph, up to

3.25$50,000,000, must be credited to the mineral research account of the fund to be allocated

3.26for the Natural Resources Research Institute-Duluth and Coleraine facilities, for mineral

3.27and mineral-related research including mineral-related environmental research; and. The

3.28other one-half of the income under this paragraph, up to $25,000,000, is credited to an

3.29endowment for the costs of operating a mining, metallurgical, or related engineering

3.30degree program offered through the University of Minnesota at Mesabi Range Community

3.31and Technical College and for scholarships for students to attend the mining, metallurgical,

3.32or related engineering program. The maximum scholarship awarded to attend the mining,

3.33metallurgical, or related engineering degree program funded under this paragraph cannot

3.34exceed $6,500 per academic year and may be awarded a maximum of four academic years.

4.1(2) The remainder of the income under paragraph (a) and the amount of any income

4.2over the $25,000,000 for the engineering program under clause (1) must be credited

4.3to the endowed scholarship account of the fund for distribution annually for scholastic

4.4achievement as provided by the Board of Regents to undergraduates enrolled at the

4.5University of Minnesota who are resident students as defined in section 136A.101,

4.6subdivision 8 .

4.7(c) The annual distribution from the endowed scholarship account must be allocated

4.8to the various campuses of the University of Minnesota in proportion to the number of

4.9undergraduate resident students enrolled on each campus.

4.10(d) The Board of Regents must report to the education committees of the legislature

4.11biennially at the time of the submission of its budget request on the disbursement of money

4.12from the endowed scholarship account and to the environment and natural resources

4.13committees on the use of the mineral research account.

4.14(e) Capital gains and losses and portfolio income of the permanent university fund

4.15must be credited to its three accounts in proportion to the market value of each account.

4.16(f) The endowment support from the income and capital gains of the endowed

4.17mineral research and endowed scholarship accounts of the fund must not total more than

4.18six percent per year of the 36-month trailing average market value of the account from

4.19which the support is derived.

4.20EFFECTIVE DATE.This section is effective retroactively from January 1, 2012.

4.21    Sec. 9. Minnesota Statutes 2010, section 141.35, is amended to read:

4.22141.35 EXEMPTIONS.

4.23    Sections 141.21 to 141.32 shall not apply to the following:

4.24    (1) public postsecondary institutions;

4.25    (2) postsecondary institutions registered under sections 136A.61 to 136A.71;

4.26    (3) schools of nursing accredited by the state Board of Nursing or an equivalent

4.27public board of another state or foreign country;

4.28    (4) private schools complying with the requirements of section 120A.22, subdivision

4.294 ;

4.30    (5) courses taught to students in a valid apprenticeship program taught by or

4.31required by a trade union;

4.32    (6) schools exclusively engaged in training physically or mentally disabled persons

4.33for the state of Minnesota;

5.1    (7) schools licensed by boards authorized under Minnesota law to issue licenses

5.2except schools required to obtain a private career school license due to the use of

5.3“academy,” “institute,” “college,” or “university” in their names;

5.4    (8) schools and educational programs, or training programs, contracted for by

5.5persons, firms, corporations, government agencies, or associations, for the training of their

5.6own employees, for which no fee is charged the employee;

5.7    (9) schools engaged exclusively in the teaching of purely avocational, recreational,

5.8or remedial subjects as determined by the office except schools required to obtain a private

5.9career school license due to the use of “academy,” “institute,” “college,” or “university” in

5.10their names unless the school used “academy” or “institute” in its name prior to August

5.111, 2008;

5.12    (10) classes, courses, or programs conducted by a bona fide trade, professional, or

5.13fraternal organization, solely for that organization’s membership;

5.14    (11) programs in the fine arts provided by organizations exempt from taxation

5.15under section 290.05 and registered with the attorney general under chapter 309. For

5.16the purposes of this clause, “fine arts” means activities resulting in artistic creation or

5.17artistic performance of works of the imagination which are engaged in for the primary

5.18purpose of creative expression rather than commercial sale or employment. In making

5.19this determination the office may seek the advice and recommendation of the Minnesota

5.20Board of the Arts;

5.21    (12) classes, courses, or programs intended to fulfill the continuing education

5.22requirements for licensure or certification in a profession, that have been approved by

5.23a legislatively or judicially established board or agency responsible for regulating the

5.24practice of the profession, and that are offered exclusively to an individual practicing

5.25the profession;

5.26    (13) classes, courses, or programs intended to prepare students to sit for

5.27undergraduate, graduate, postgraduate, or occupational licensing and occupational

5.28entrance examinations;

5.29    (14) classes, courses, or programs providing 16 or fewer clock hours of instruction

5.30that are not part of the curriculum for an occupation or entry level employment except

5.31schools required to obtain a private career school license due to the use of “academy,”

5.32“institute,” “college,” or “university” in their names;

5.33    (15) classes, courses, or programs providing instruction in personal development,

5.34modeling, or acting;

6.1    (16) training or instructional programs, in which one instructor teaches an individual

6.2student, that are not part of the curriculum for an occupation or are not intended to prepare

6.3a person for entry level employment; and

6.4    (17) schools with no physical presence in Minnesota, as determined by the office,

6.5engaged exclusively in offering distance instruction that are located in and regulated

6.6by other states or jurisdictions.

6.7EFFECTIVE DATE.This section is effective retroactively from August 1, 2008.

6.8    Sec. 10. Minnesota Statutes 2010, section 299A.45, subdivision 1, is amended to read:

6.9    Subdivision 1. Eligibility. A person is eligible to receive educational benefits under

6.10this section if the person:

6.11    (1) is certified under section 299A.44 and in compliance with this section and rules

6.12of the commissioner of public safety and the Minnesota Office of Higher Education;

6.13    (2) is enrolled in an undergraduate degree or certificate program after June 30, 1990

6.14or a graduate degree or certificate program after June 30, 2011, at an eligible Minnesota

6.15institution as provided in section 136A.101, subdivision 4;

6.16    (3) has not received a baccalaureate degree or been enrolled full time for nine

6.17semesters or the equivalent, except that a student who withdraws from enrollment for

6.18active military service is entitled to an additional semester or the equivalent of eligibility

6.19benefits for the maximum duration specified in subdivision 4; and

6.20    (4) is related in one of the following ways to a public safety officer killed in the

6.21line of duty on or after January 1, 1973:

6.22    (i) as a dependent child less than 23 years of age;

6.23    (ii) as a surviving spouse; or

6.24    (iii) as a dependent child less than 30 years of age who has served on active military

6.25duty 181 consecutive days or more and has been honorably discharged or released to the

6.26dependent child’s reserve or National Guard unit.

6.27EFFECTIVE DATE.This section is effective retroactively from July 1, 2011.

6.28    Sec. 11. Minnesota Statutes 2010, section 299A.45, subdivision 2, is amended to read:

6.29    Subd. 2. Award amount. (a) The amount of the award is the lesser of:

6.30(1) the average tuition and fees charged by the institution; or

6.31(2) the tuition maximums established by law for the state grant program under

6.32section 136A.121. The tuition maximum for graduate study is the maximum established

6.33by law for the state grant program for four-year programs.

7.1(b) An award under this subdivision must not affect a recipient’s eligibility for a

7.2state grant under section 136A.121.

7.3(c) For the purposes of this subdivision, “fees” include only those fees that are

7.4mandatory and charged to all students attending the institution.

7.5(d) For the purpose of benefits awarded under this section, full time for a graduate

7.6program is eight or more credits per term or the equivalent.

7.7EFFECTIVE DATE.This section is effective retroactively from July 1, 2011.



7.10The Board of Trustees of the Minnesota State College and Universities shall establish

7.11a work group to study methods that result in lower textbook costs for students. Methods

7.12include studying alternative textbook delivery methods, including a cross-campus shared

7.13delivery system for textbooks, the expansion of electronic textbooks with an assessment

7.14of effective methods for delivering e-books to students, and other technology-based,

7.15innovative, or best practices methods to bring real cost-savings to students. The goal of

7.16this work group is to help assess current practices, present a stable of business strategies,

7.17technologies and campus deployment plans that are effective in driving down the cost of

7.18learning resources for students while offering greater access to no- or low-cost academic

7.19content for faculty.



7.22The regents of the University of Minnesota must transfer $645,000 in fiscal year

7.232012 and $645,000 in fiscal year 2013 from the appropriations made to it for operations

7.24and maintenance in Laws 2011, First Special Session chapter 5, article 1, section 5, to the

7.25Hennepin County Medical Center for graduate family medicine education programs at

7.26Hennepin County Medical Center.

7.27EFFECTIVE DATE.This section is effective the day following final enactment.



7.30$ ……. is appropriated from the general fund for the fiscal year ending June 30,

7.312013, to the Board of Trustees of the Minnesota State Colleges and Universities for

7.32leveraged equipment acquisition. For the purpose of this section, “equipment” means

8.1equipment for instructional purposes for programs that the board has determined would

8.2produce graduates with skills for which there is a high employer need within the state. An

8.3equipment acquisition may be made using this appropriation only if matched by cash or

8.4in-kind contributions from nonstate sources.



8.7$…….. is appropriated from the general fund for the fiscal year ending June 30,

8.82013, to the Board of Trustees of the Minnesota State Colleges and Universities for the

8.9purpose of aligning its programs to meet the needs of Minnesota employers for a skilled


8.11Delete the title and insert:

8.12“A bill for an act

8.13relating to higher education ; ………………………………………amending Minnesota

8.14Statutes 2010, sections 135A.25, subdivision 5; 136F.58, subdivision 3, by

8.15adding a subdivision; 136F.71, subdivision 3, by adding a subdivision; 136F.98,

8.16subdivision 1; 136G.03, subdivision 7; 137.022, subdivision 4; 141.35; 299A.45,

8.17subdivisions 1, 2.”