Session Weekly January 24, 2003, Volume 20, Number 3

JANUARY 24, 2003 VOLUME 20, NUMBER 3

In this issue:

MEDICAL PRIVACY DEBATE

ETHANOL PAYMENTS, MORE NEW MEMBERS, AND MORE

HF109-HF182 ESSION S Weekly Session Weekly is a nonpartisan publication of the Minnesota House of Representatives Public Information Office. During the 2003-2004 Legislative Session, each issue reports daily House action between Thursdays of each week, lists bill introductions and upcoming committee meeting schedules, and provides other information. The publication is a service of the Minnesota House. No fee. CONTENTS To subscribe, contact: Minnesota House of Representatives IGHLIGHTS Public Information Office H 175 State Office Building Bonding • 5 Employment • 7 Higher Education • 10 St. Paul, MN 55155-1298 Crime • 5 Environment • 7 Taxes • 10 (651) 296-2146 or 1-800-657-3550 Education • 6 Government • 8 Transportation • 13 TTY (651) 296-9896 Elections • 6 Health • 9 Director Barry LaGrave EATURES Assistant Director F LeClair G. Lambert At Issue: Agriculture — Hundreds of farmers and ethanol producers con- Editor/Assistant Director verged on the State Capitol Jan. 16 to oppose proposed cuts in ethanol Michelle Kibiger producer payments. • 11 Assistant Editor Mike Cook At Issue: Transportation — Budget-balancing proposals include the conver- sion of $130 million in transportation funding to trunk highway bonds, and Art & Production Coordinator Paul Battaglia other adjustments to transportation funding. • 12

Writers People — House Majority Leader Erik Paulsen (R-Eden Prairie) is serving his Miranda Bryant, first term in that position, following in the footsteps of former House Majority Jeff Jones, Tom Lonergan Leader and now Gov. Tim Pawlenty. He was first elected in 1994. • 14 Chief Photographer Tom Olmscheid People — Rep. Ray Cox (R-Northfield) brings family ties to the Legislature in Photographers his first term. • 15 Andrew Von Bank, Kristine Larsen Office Manager People — Rep. Keith Ellison (DFL-Mpls) looks forward to being a part of solu- Nicole Wood tions important to his community as a new member of the House of Staff Assistants Representatives. • 16 Christy Novak, Joseph Rude People — Rep. Brad Finstad (R-New Ulm) brings a youthful outlook and expe- Session Weekly (ISSN 1049-8176) is published rience in agricultural pursuits to his new position in the House. • 17 weekly during the legislative session by the Minnesota House of Representatives Public Information Services Office, 175 State Office EPARTMENTS ESOURCES Building, St. Paul, MN 55155-1298. Periodicals D /R postage paid at St. Paul, MN, and at additional It’s a Fact: Simpler times 4 Committee Schedule (Jan. 27-31) 21 mailing offices. POSTMASTER: Send address changes to Session Weekly, Public Information Resources: Minnesota House of Reflections: The changing Capitol 23 Office, Minnesota House of Representatives, Representatives Standing Committee Minnesota Index: Charitable 175 State Office Building, St. Paul, Schedule 18 gambling and lotteries 24 MN 55155-1298. Bill Introductions (HF109 – HF182) 19 Printed on recycled paper which is 50% recycled, 30% post-consumer content. On the cover: The grand stairs to the old Supreme Court Chamber are illuminated as sunshine pours through the skylight on the eastern side of the State Capitol.

—Photo by Tom Olmscheid

2 January 24, 2003 IRST READING F★ ★ ★

There was little disagreement at the hear- ing about the value of making such research Privacy versus progress available to the public, but testifiers were con- Battle is just beginning over Health Department plan to cerned about the type and volume of infor- mation the department says it will require. collect medical information from patients Especially divisive is the collection of some personally identifying data — including a person’s name, address, race, and ethnicity. BY JEFF JONES That information would be used to deter- aying that proposed state Health Depart- mine which patient corresponds to each piece ment rules governing patient information of medical data, which Wexler said is neces- equate to Big Brother watching over the S sary to track medical cases over time. “If you shoulder of health professionals, many people have five cases of diabetes, for example, you criticized them before a House committee. need to know if you’re dealing with one indi- A proposed set of rules from the department vidual who went to five different providers or would allow the state to begin collecting detailed with five different people,” he said. “When patient medical information — including patient you’re looking at the prevalence of disease names, addresses, and ethnicities — from hos- around the state, that becomes important in pitals, insurers, and Health Maintenance Orga- knowing whether or not there’s an increase or nizations. The information would primarily be an outbreak in a given area.” used in an effort to measure the quality of care It is the collection of this personally identi- being offered in the state. fying data that has privacy advocates worried. “It requires citizens to choose between Brase said she fears it will allow the state, or health care and privacy. They can have one, anyone else who gets access to the database, to but they can’t have both,” said Twila Brase, view a person’s entire medical history. “The president of the Citizen’s Council on Health quest for research dollars and results should Care, in testimony before the House Health not usurp the rights of individuals to have a and Human Services Policy Committee Jan. 22. private self outside the observation of the gov- Her organization advocates for free-market ernment, and outside the interpretation of re- principles in medical care and has organized searchers,” she said. strong opposition to the proposed rules since Health Department officials have tried to their introduction last August. calm those fears by implementing high-tech The Department of Health wrote the rules security standards. in accordance with a 10-year-old state law that Under the rules, personally identifying data directs the commissioner to collect data nec- would be encrypted and submitted separately essary to assess the quality of health care in from billing records. The data would then be Minnesota. The rules would create a database put onto a secure computer, where each of administrative billing data that would al- person’s information would be assigned a ran- low the department to track a wide range of dom code number and then deleted, leaving health care trends. only the code to connect with billing data in Dick Wexler, assistant commissioner with the the database. Furthermore, he said, only two department, touted the success of other states in PHOTO BY ANDREW VON BANK people can access the secure computer, and collecting and using the medical information. Twila Brase, president of the Citizens’ Council on both must be present in order to access it. Wexler, who oversees the department’s Health Care, shows members of the House Health Wexler said nobody would be able to see a Health Quality and Access Bureau, said the and Human Services Policy Committee letters in patient’s name anywhere in the process. state of New York, which has a database simi- opposition to the medical collection plans of the Jim Rea, an information technology special- lar to what the department has proposed, was Minnesota Department of Health. ist, said he doubted the department would be able to decrease the mortality rate at hospitals able to completely ensure anonymity, even by performing heart-bypass surgery by 41 per- Among the many proposed uses of the da- replacing personal information with a random cent after publishing data comparing tabase in Minnesota are: code. He pointed to the case of Social Security hospitals. • Tracking changes in health care costs; numbers, which were originally meant to be He also stressed that administrative billing • Detecting emerging diseases or conditions; private pieces of information but have become data only contains codes and prices for a • Comparing illness rates among geographic the most widely used identification number patient’s diagnoses and treatments. “It is not areas, ethnic groups, and ages; and in the United States. the medical chart or the medical record. There • Comparing the quality and efficiency of Several testifiers said they fear people will not are no doctor’s notes,” he said. health care providers.

Session Weekly 3 seek needed treatment if they are afraid that sen- sitive information will be viewed by the state. Brase told the story of a woman who has can- celled her annual physicals “because she didn’t want to be a part of a government record.” Brase said she foresees a situation where the Simpler times treatment “best practices” the department Early legislators approved everything from would like to determine from gathered data name changes to church meetings would result in the state refusing to reimburse insurers for treatments that deviate from those Imagine filing for divorce, but rather than approved when the Legislature declared practices. The result, she said, would be “gov- hiring an attorney and going before a judge that Amina Sybil Powers’ last name could ernment-directed medical practice.” to have the case decided, you appeared be- be changed to Dufty. The law stated that “The entire process would inhibit the au- fore a legislative committee with the power Amina be deemed the heir-at-law of tonomy of individuals and diminish the to recommend granting or denying your Frederick M. and Levantia Jannette Dufty physician’s ability to treat patients as unique application. At that committee, you testi- of Mower County, entitling her to all the individuals,” she added. fied regarding the situation, and the com- rights and privileges as well as subjecting Margaret Brunner, a medical researcher and mittee would forward your case on to the her to all the duties she would be subject clinical educator at Hennepin County Medical full Legislature for a final disposition. to if “she were the child” of the Duftys. Center, said what the state is proposing is essen- Such was the case for some Minnesotans It appears that the Legislature stopped acting tially a giant research project and, like any other while the state’s legal system was still in its on individual name changes around 1882, while research, it should allow voluntary participation infancy. its realm remained over the names of lakes, acad- and the written consent of the participants. To understand the changes that state gov- emies, churches, and streets. “Without this process I feel this informa- ernance has undergone over time, one need This did not, however, remove from the tion gathering is an invasion of privacy, a vio- only peruse the index of “special laws” book Legislature’s jurisdiction business that to- lation of patient rights, and a breach of the from any given legislative session. day might be addressed by lower bodies. medical provider/client confidentiality. I fore- In the late 19th cen- For instance, in 1883 see a potential of some patients delaying seek- tury, it was common senators and representa- ing treatment if they thought every cough, practice for the Minne- tives acted to prevent sneeze, or hangnail was going to be reported.” sota Legislature to act on cattle from running at While the Legislature is not an official part adoptions, restoration large in portions of of the process for developing or implement- of citizenship, and name Waterville in Le Sueur ing the rules, it has the authority to modify or changes for individuals, County, and to regulate repeal the rules that allow medical data col- as well as organizations. the same activity in cer- lection. And that statute may become the cen- Even divorces could be tain towns and villages tral focus of the debate. granted by the Legisla- in Pope County. Legislators passed a law in 1992 to curb state ture in some circum- The First Swedish Evangelical Lutheran Prohibited by law in health care spending by collecting and studying stances. In this regard, Church, about 1890. 1889 was nude bathing medical data. Three years later that law was modi- the Legislature performed many of the duties in McCarrons Lake in Ramsey County, in fied to clarify that patient consent is not needed now handled by courts of law. modern-day Roseville, and legalized were for the state to collect the information. For instance, in 1871 the Legislature al- the acts of certain officers for the Academy As recently as 2001, the House held hear- lowed Ole Erikson to change his name to of Our Lady of Lourdes, a Catholic school ings trying to determine the correct balance William Erikson. Samuel Godfrey in Rochester that actually predates the between public health and personal privacy. Hubberstick’s last name became Luscher, as state. At that meeting, Attorney General Mike did the last names of Henry Rudolph and Authority to erect telephone poles and Hatch’s office said the release of medical Charles Adolph Hubberstick. wires over streets and alleys was granted records should be up to the patient. Some of the name changes appear to be to the City of Duluth in 1881. The law si- Advocates of the research said that restricting a result of marriage and others perhaps re- multaneously declared it a misdemeanor, the pool of data available to the state would make lated to an immigrant’s desire to “Ameri- subject to a $100 fine and up to three it impossible for consumers to get useful infor- canize” one’s name. months in jail, for deliberate damage to mation about their health care choices. In the same year, the Legislature approved telephone poles, wires or instruments. None of those advocates was on hand at the changing the name of First Scandinavian And the width and direction of Summit Jan. 22 meeting, but Rep. Lynda Boudreau (R- Evangelical Lutheran Church of St. Paul to Avenue in St. Paul were set in 1871. The Faribault), committee chair, said more hearings First Swedish Evangelical Lutheran Church. width? One hundred feet. will be held on the issue. Boudreau also said she Names weren’t the only church business In 2003 with significant budget short- expects legislation will be introduced to amend before the state Congress. In 1875 the Leg- falls forcing the cutting hand of state or repeal the law that allows for data collection. islature passed a law allowing First Presby- elected officials, the Legislature would Until such a law passes, the department may terian Church of Hastings to change its likely relish a return to simpler times when issue the rules any time based on a ruling by an annual meeting and trustees election from events were straight forward, simple, and administrative law judge. Gov. Tim Pawlenty has the fourth Monday in February to the third seemingly innocuous. asked the department to delay implementation Monday in December. (M. BRYANT) until he can review the policy. An apparent adoption in 1881 was Photo courtesy of the Minnesota Historical Society

4 January 24, 2003 IGHLIGHTS J ANUARY 16 - 23, 2003 H★ ★ ★

Guthrie Theater land acquisition, nearly Editor’s Note: A number of stories in this $1.5 million to the Department of Adminis- week’s issue, particularly in the following tration for agency relocation, and $591,614 to Highlights section, explain individual the Capitol Area Architectural and Planning committee proposals to address the Board to be used for preservation work on the state’s projected budget deficit of $356 State Capitol in preparation of its centennial million for the 2003 fiscal year. Those in 2005. proposals were initially not introduced as bills, but were offered as amendments The committee also approved the cancella- to HF74, sponsored by Rep. Jim Knoblach tion of $130 million in general fund appro- (R-St. Cloud). priations for transportation from 2000 and The House Ways and Means authorizes the sale of $130 million in trunk Committee will compile the contents of highway bonds to replace the general fund that bill, which will then be forwarded to money. The provision is both in the capital the House floor. The specific bills were investment proposal and the transportation introduced late Thursday, with the finance proposal, both of which will be com- finance committee chairs as individual bined into the larger budget-balancing mea- sponsors. sure in the House Ways and Means Committee. As this issue of Session Weekly was going Monies for bond sale expenses ($130,000) are to press, the Ways and Means Committee also included. was meeting to discuss the budget bill. Please refer to the Session Daily Web site (http://www.house.mn/hinfo/sdaily/ CRIME sdaily.htm) for updates and upcoming ★ issues of Session Weekly for more in-depth On the chopping block coverage of the Legislature’s budget- Citing public safety as a “core function of balancing proposals. government,” Rep. Rich Stanek (R-Maple Grove) praised the work of the House Judi- ciary Policy and Finance Committee Jan. 22 as the committee approved $13.2 million in recommended budget cuts for fiscal year 2003. BONDING “We did this without gimmicks,” Stanek ★ said, comparing the committee bill to one in Funding gets frozen the Senate that would transfer some state Funding approved in 1998, but not yet used, prison inmates to county jails. “We are not would be frozen and then disappear, as part PHOTO BY TOM OLMSCHEID going to shift the burden to local units of gov- of a bill approved Jan. 22 by the House Peter Sausen, assistant commissioner with the ernment,” he said. Capital Investment Committee. Department of Finance, testifies before the House The bill (HF135), which moves on to the The Department of Finance is set to issue a Capital Investment Committee Jan. 22 about House Ways and Means Committee for inclu- report on Feb. 1 showing state and local gov- project funding that would be canceled in an sion in an omnibus budget-balancing bill, in- ernment capital appropriations projects that effort to help with the state’s budget shortfall. cluded most of the cuts Gov. Tim Pawlenty were authorized more than four years prior. “The projects on this list are virtually dead recommended for departments under the According to state law, those project funds will unless the Legislature takes action to appro- committee’s jurisdiction. Those include $3.84 be canceled unless they are re-authorized by priate money,” said Peter Sausen, an assistant million from district courts, $1.73 million the Legislature. commissioner with the Department of from the state Supreme Court and Civil Legal However, as a way to help with the state’s Finance. Services, and $1.54 million from the Public $356 million budget deficit, the bill (HF136) However, Rep. Phil Krinkie (R-Shoreview), Defense Board. calls for those unspent funds to be frozen Feb. the committee chair and bill sponsor, noted There were also some deviations from the 1. The estimated amount to the general fund that the bill’s grand total is a somewhat mov- governor’s proposal. The committee bill cuts is about $9 million. ing target because the money could still be the Department of Public Safety by $1 mil- Included among those projects are the fol- used if the groups in question finalize items lion less than Pawlenty’s recommendations. lowing: to meet bonding requirements prior to the That burden was shifted primarily to the state • Nearly $2.13 million for the Riverview Cor- Feb. 1 deadline. Department of Corrections, which the bill cuts ridor in St. Paul, In addition, the committee bill calls for the by $900,000 more than recommended by the • Almost $2.02 million for local initiative cancellation of another approximately governor. grants for Department of Natural $5.43 million in unencumbered general fund The extra money would allow Department Resources trails, dollars from appropriations in 2000 or 2002 of Public Safety programs such as grants to • $2 million for a school-to-work technology with those funds redirected to help with the battered women and the Minnesota Gang center in Itasca County, and state’s projected 2003 deficit. Strike Task Force to receive full funding. • $1 million for a Hermantown community Included in that group is $2 million for the The bill encourages the corrections indoor sports complex. Session Weekly 5 commissioner to make most of the $2 million districts to keep 25 percent of revenues (from merely formalize them in the statutes. He said in total cuts to that department in non-prison state aid and local tax levies) in each of these two state attorney general’s opinions already areas, specifically juvenile services and com- two accounts for the state to reallocate to other dictate that government entities should not di- munity services. Rep. Mary Murphy school districts. The governor’s proposal rectly spend public funds to promote or de- (DFL-Hermantown) and Rep. Keith Ellison would eliminate the reallocation and recover feat a ballot question, such as a constitutional (DFL-Mpls) objected to that provision saying the remaining state aid for the state general amendment. The bill was amended to include juvenile programs are essential to keeping fund. school district levy referenda during the com- young people out of prison later in life. The committee’s bill would also endorse the mittee meeting. “There’s still hope with the young people,” administration’s proposal to require school Statewide, 91 school districts had levy ref- Murphy said. “I don’t like that we cut so much districts for the first time to freeze 25 percent erenda questions on the local general election from one agency to give to another agency.” of state aid and local tax levy revenue for com- ballot in November 2002. Stanek responded that the only alternative munity education programs. The state aid Rep. Keith Ellison (DFL-Mpls) questioned to cutting juvenile programs was to cut the portion would be returned to the state. Dis- whether the bill would affect the dissemina- number of guards and security personnel on tricts can apply to the department for waiver tion of information about ballot questions. He the various shifts at prisons. Deputy Correc- consideration if the funds have been allocated. said that it seems many people don’t realize tions Commissioner Dennis Benson said that The proposed state recapture of these edu- what they are voting for when it comes to bal- core prison services have been cut as far as they cation aid funds is considered a one-time mea- lot issues and government entities should be can, given the recent dramatic increase in sure to help achieve a balanced state budget able to provide general information. prison populations. for fiscal 2003. Rep. Bill Hilty (DFL-Finlayson) wondered Stanek also included language in the bill that The committee’s bill also added a $1.6 mil- what would be considered promotion of an would eliminate the corrections ombudsman, lion cut to adult basic education programs that issue. He said it is conceivable that school dis- who oversees investigations into complaints was not proposed by the governor. The bill tricts will be required to explain why extra about prison conditions. Stanek said the func- would reduce a budgeted growth factor al- funding is needed, and he was curious whether tion of that office is duplicated elsewhere in lowed by the state to help adult education pro- that could be considered promotion. state government. grams meet increasing demand for classes. Lipman said there are a number of laws gov- Many committee members were also sur- That growth factor had set aside 8 percent of erning a municipality’s responsibility to pro- prised to see a $24,000 cut from the state Tax the state’s adult education aid for supplemen- vide justification for various ballot issues Court budget. Murphy criticized Stanek for tal service grants. The proposal would cut the already on the books that would clarify those not notifying court representatives so they growth factor to 2 percent. The difference in issues. could be present for the hearing, which was revenue produced by the formula would be Members also pointed out that what typi- well attended by officials from many different returned to the state general fund. cally happens when there is a local ballot ques- state agencies. Barry Lane, director of adult education for tion or referendum, a group of citizens or other Bloomington-based South Hennepin Adult interested parties will form a committee, raise Programs in Education, said a cut in state aid money, and spend money advocating their would have a “dire impact on our operating cause that way, rather than formally using pub- EDUCATION for the rest of the fiscal year.” The district might lic funds to advocate for or against an issue. ★ have to cut seven hourly teaching positions and There is currently no Senate companion to Recalling funds perhaps 100 adult learners won’t have classes the legislation. The House Education Finance Committee available, Lane said. Jan. 22 recommended state aid cuts totaling Because the bill also affects an estimated $7.5 million that would primarily affect K-12 $6.2 million in tax levy revenue school districts won’t be able to spend on community educa- school districts’ adult education and commu- Campaign finance board members nity education budgets for the current fiscal tion and other programs, it will first be con- Two potential members of the Minnesota year, but would not likely cause immediate sidered by the House Taxes committee and Campaign Finance and Public Disclosure program reductions. then the Ways and Means committee. Board received committee approval Jan. 21. The committee’s bill (HF142) would also Appointed by Gov. Tim Pawlenty, Terri cut the Department of Children, Families and Ashmore and former state Rep. Bob Milbert Learning budget by $1 million, and reduce pre- received the endorsement of the House Gov- viously budgeted funds for early childhood ELECTIONS ★ ernmental Operations and Veterans Affairs family education programs by $769,000. Policy Committee. If confirmed by the full The committee approved the bill, sponsored Public spending on ballot questions House and the Senate, their terms would on behalf of the committee by Chair Rep. Alice The state and other local governments, in- expire in January 2007. A three-fifths vote is Seagren (R-Bloomington) and sent it to the cluding school districts, would be prohibited required from each body for confirmation – House Taxes committee. The cuts to the K-12 from using public funds to promote or defeat meaning 81 votes in the House and 41 votes education aids budget were proposed by the a ballot question, under a bill approved Jan. in the Senate. Pawlenty administration to help eliminate the 22 by the House Governmental Operations Ashmore is the managing director of the state’s $356 million anticipated shortfall for and Veterans Affairs Policy Committee. Basilica of St. Mary in Minneapolis. She has fiscal year 2003. The bill (HF42), sponsored by Rep. Eric previous experience with the Republican Party, The governor’s proposal would require Lipman (R-Lake Elmo), now moves before the serving as campaign director for the Senate school districts to return excess fund balances full House for consideration. Republican caucus for the 1992 campaign, and in “school readiness” assistance and early Lipman said the bill would not specifically was executive director of the House childhood education. The state requires school change procedures already in place, it would

6 January 24, 2003 Republican caucus from 1988-1990. “I believe participation in campaigns is very DAIRY OVERVIEW important, and the laws in place are impor- tant to live by,” she said. After 16 years in the House, with sponsor- ship of the “Mighty Ducks” program that helped get many new ice arenas built around the state on his list of accomplishments, Milbert chose not to seek re-election in 2002. The DFLer from South St. Paul is the CEO of Milbert Company, a Culligan Water dealership. He also is a board member of the Minnesota Amateur Sports Commission and the USA Hockey Foundation. The board focuses on four programs, in- cluding the following: campaign finance reg- istration and disclosure, economic interest disclosure by public officials, lobbyist regis- tration and disclosure, and public subsidy ad- ministration. Following the confirmation of Ashmore and Milbert, the makeup of the board will be three Republicans, two DFLers, and one Indepen- dence Party member. State law prescribes that PHOTO BY ANDREW VON BANK the members of the board must represent dif- Dairy producers Larry Amundson from Thief River Falls, right, and Jerry Jennissen from Brooten, ferent political parties. It also dictates that give an overview of the state’s dairy industry before the House Agriculture and Rural Develop- some may be former legislators, while others ment Finance Committee Jan. 21. should not be public officials. For example, no more than three of the members of the board “At this time there is no apparent project would also: may support the same political party, and no they can use that for,” he said. • Reduce funding by $700,000 to the Minne- member of the board may serve as a lobbyist. Rep. Tony Sertich (DFL-Chisholm) dis- sota Investment Fund, which promotes in- agreed, stating he has three projects in the dustrial, manufacturing and technology works in his district – projects potentially cre- jobs; EMPLOYMENT ating 4,000 jobs on the Iron Range — that • Cut $1 million from the Job Skills and Path- ★ could benefit from the minerals fund. ways Program, a reduction not included in Development funding cuts proposed Rep. Tim Mahoney (DFL-St. Paul) pre- Pawlenty’s proposal; and Despite concern about the funding for an sented an amendment that was rejected along • Transfer $265 million to the state general Iron Range development program, the House a party line vote. Offered on behalf of DFL fund from a special compensation fund for Jobs and Economic Development Finance members, it called for reducing the jobs workers’ compensation claims. Committee approved $73.5 million in budget committee’s overall budget by $17.5 million, Services for the blind would have funding cuts Jan. 22. far less than proposed by the approved bill. restored by $124,000 in fiscal year 2003 and The reductions address a portion the $356 Mahoney’s amendment left untouched the by $196,000 in fiscal years 2004-05, under the million budget shortfall for the remainder of minerals fund, as well as Minnesota Technol- bill. A motion by Rep. Karen Clark fiscal year 2003. The committee’s bill (HF141), ogy Inc. funding. And it reduced the amounts (DFL-Mpls) to eliminate $60,000 in proposed sponsored by Chair Rep. Bob Gunther of proposed budget cuts to the Minnesota budget cuts to four minorities councils was re- (R-Fairmont), will be forwarded to the House Historical Society and the Housing Finance jected by the committee, however. Ways and Means Committee for incorporation Agency. into one overall budget deficit bill. The larger Minnesota Technology Inc., a technology budget bill will likely be considered by the full based economic development organization, ENVIRONMENT House before the end of January. helped 1,474 companies in the past two years ★ If ultimately passed, the committee bill create high-wage jobs in rural Minnesota. Project green light would transfer $49 million from the Minne- President Jacques Koppel previously told the While the state’s budget woes have pushed sota 21st Century Minerals Fund to the state committee that the state receives $26.4 mil- legislative appointments to the back burner, general fund. Gov. Tim Pawlenty proposed lion in new sales and income tax revenues from the Legislative Commission on Natural Re- transferring only $39 million from the fund its $11.4 million biennium appropriation to sources awaits the addition of several House that provides loans and investments to iron his firm. members and senators to round out the 20- production facilities. The committee “probably could go away member body. The transfer leaves $10 million in the fund, seeing as we’re destroying all the economic The commission makes funding recom- said Gunther. He said the fund is a “pile of development tools rural Minnesota has,” said mendations to the Legislature on special en- money” that the state needs to create jobs on Mahoney. vironmental projects funded by the the Iron Range, but not right now. For fiscal year 2003, the committee bill Environment and Natural Resources Trust

Session Weekly 7 Fund, Minnesota Future Resources Fund, and policy focus,” Corrigan told the committee. stores. “We love them to death,” Andersen said other designated natural resources accounts. “I’m hoping you can help us with that.” of the big retailers where customers are drawn Commission Director John Velin presented Corrigan touted the success of the agency’s to purchase lottery tickets along with gasoline an overview of their approval process to the Voluntary Investigation and Cleanup and and milk. House Environment and Natural Resources Superfund programs in bringing contami- Andersen wryly said he rues “the invention Finance Committee Jan. 22. nated land back into productive use. of those evil things like pay at the pump — I The commission prioritizes environmental Many of those sites will be switching from prefer for them to go into the store.” funding needs through a combination of site an identification and cleanup mode to a less The lottery does not oversee charitable gam- visits, public meetings, and interviews with costly “maintenance mode” in the next few bling such as pull tabs and bingo, card clubs, experts, local government officials, and project years, she said, and funding priorities will shift casinos, or racetracks. coordinators. The commission seeks innova- to tackle non-point pollution problems. “The spending that we are after and the tion and acceleration, Velin said. Trust fund Another change to expect under Corrigan’s spending we in fact do get is entertainment dollars must supplement, not supplant, tradi- direction will include a review of the timeli- dollars,” Andersen told the committee. tional sources of money. ness of the agency’s water permitting process. For every dollar spent on lottery tickets in The funding levels start at zero every two “We’ve come under scrutiny in the past for fiscal year 2002, 58.9 cents was earmarked for years, he explained. “Nothing is a given.” our ability to get the permits in and out of the prizes, 13.2 cents satisfied operating costs, 6.3 Velin cited the development of a biological agency in a reasonable amount of time,” she cents was paid to retailers, and 21.6 cents went control for purple loosestrife as an example said. to the state. of a highly successful commission-approved Citing both the expense and the unsettling Forty percent of net lottery proceeds are program. effects on citizens and staff, Corrigan pledged constitutionally dedicated through 2024 to the Purple loosestrife is an attractive yet nox- there would be no major reorganizations of Environment and Natural Resources Trust ious plant that will choke a wetland if left to the agency’s structure under her watch. She Fund for preservation and enhancement propagate. When the application of traditional also said there would be no increase in the projects. The Legislative Commission on Min- pesticides proved to kill everything but the commissioner’s office budget. nesota Resources administers the trust fund hearty loosestrife, trust fund dollars aided re- Rep. Tony Cornish (R-Good Thunder), a and the lottery has no say in how or where searchers in the 1990s with the introduction former farmer and retired conservation officer, those dollars are spent. of a leaf-eating beetle. urged Corrigan to be mindful of farmers’ repu- The commission is restricted by law to ap- Other recently completed projects include tations and the financial repercussions of ag- prove only those projects that supplement, but assisting landowners with prairie and forest riculture regulation. He told of an incident do not supplant, traditional environmental stewardship plans, brownfield redevelopment, where algae foam floating down the Blue Earth funding sources. Commission recommenda- and Wilderness Inquiry, an accessible outdoor River was misidentified in the community as tions must meet legislative approval. recreation initiative. a manure spill. Lottery proceeds are added to the environ- The commission recently completed a two- Rep. Howard Swenson (R-Nicollet) echoed ment trust fund’s principal and lawmakers are year approval cycle, but supplemental budget Cornish’s sentiments. “If a spill happens, it some- authorized to appropriate 5.5 percent of the cuts and a proposed transfer of $2.4 million times seems like the media and some of these fund’s market value each year. from the future resources fund likely will force groups…assume it’s the fault of agriculture.” In addition, environmental endeavors in- it back to the drawing board before it moves Corrigan replied that she would like to see cluding trail upgrades and wildlife conserva- forward with funding recommendations for the focus on the state’s impaired waters go tion receive funding from a 6.5 percent “in lieu fiscal years 2004 and 2005. beyond feedlots to achieve more of a partner- of” sales tax that is paid annually by the lot- ship with the agricultural community. tery to the state’s game and fish fund and natu- ral resources fund. PCA priorities Since the start of lottery sales in 1990, the The next four years will bring three “P’s” Lottery-to-land link overall contribution to state coffers has been into focus at the Pollution Control Agency “When Minnesota plays, everybody wins,” more than $1 billion, Andersen said. The En- (PCA): Partnerships, Policies, and Priorities, declares the Minnesota State Lottery Web site, vironment and Natural Resources Trust Fund according to newly minted commissioner and Minnesotans played to the tune of has received $301.4 million and the game and Sheryl Corrigan. $377 million in fiscal year 2002. fish and natural resources funds have collected Just a few weeks into her new job, Corrigan In comparison, charitable gambling drew $27.5 million, respectively. made her first appearance before the House $1.4 billion and horse racing collected another Environment and Natural Resources Policy $77 million. Estimates place illegal wagering ex- Committee Jan. 21. penditures at $2 billion over that same time span. GOVERNMENT The biggest challenge now facing the agency, George Andersen, Minnesota State Lottery ★ Corrigan said, is that the sources of pollution director, explained the link between lottery State operations cuts tend to be less obvious. The causes of contami- proceeds and environmental funding to the The Legislature would take a nearly nants have changed over the years from easily House Environment and Natural Resources $3.1 million hit if the supplemental budget bill identifiable industrial smokestacks to non- Finance Committee Jan. 22. (HF138) approved Jan. 21 by the State point sources such as polluted runoff from The Minnesota State Lottery sells scratch Government Finance Committee becomes law. agricultural and urban areas, poorly con- tickets and online games such as Powerball and On its way to the Ways and Means Com- structed septic systems, and exhaust from cars Gopher 5 at approximately 3,100 retailers mittee, where committee bills are to be merged and other mobile sources, she said. statewide. Lottery sales at Minneapolis-St. Paul into one House proposal, the $11.4 million bill “We have the right folks, we have a lot of International Airport are strong, however the is part of a plan to reduce the state’s $356 mil- energy out there, and now we need the right most successful outlets are major convenience lion shortfall for this fiscal year. The total

8 January 24, 2003 package is likely to be considered by the full Bleyhl said she still expects a significant sal- House next week. ary savings from union members if the plan is ★ HEALTH Of the proposed permanent legislative cuts, voluntary. Scaling back programs the Senate would lose $1.7 million, the Legis- The House Health and Human Services Fi- lative Coordinating Commission $755,000, Disclosing total impact nance Committee approved a recommenda- and the House $640,000. Governmental units, businesses, and indi- tion Jan. 21 for $45.3 million in revenue The bill provides for no reduction in money viduals that may experience increased costs as enhancements and funding cuts to state de- used by House Television Services to buy air- a result of administrative rules would receive partments and programs – in excess of Gov. time on stations across the state. The budget more information about the full extent of that Tim Pawlenty’s budget-reduction recommen- reduction proposal offered by Gov. Tim monetary impact, under a bill approved Jan. dations by more than $6 million. Pawlenty calls for a $418,100 grant reduction 21 by the House Governmental Operations House members voted to send the commit- for this service. and Veterans Affairs Committee. tee bill (HF140), sponsored on behalf of the Rep. Bill Haas (R-Champlin), committee Sponsored by Rep. Marty Seifert committee by Chair Rep. Fran Bradley (R- chair and sponsor of the proposed cuts, said (R-Marshall), HF64 is now headed to the Rochester), to the House Ways and Means that it is important to keep programming on House State Government Finance Committee. Committee for inclusion in the omnibus bud- the air so that everybody has the opportunity Current law states that agencies preparing a get balancing package for the current fiscal to watch what is happening in St. Paul. “I want rule change must present a Statement of Need year. the public to be able to see the proceedings and Reasonableness (SONAR) “to the extent The additional cuts above the governor’s that go on in this body,” he said. “I want them the agency, through reasonable effort, can as- recommendation would make up, in part, for to be fully informed.” certain this information.” Included in that in- an expected reduction in cuts to ethanol sub- Other areas that would take big hits in the formation is probable costs associated with the sidies, Bradley said. bill include $1.8 million at the Department of change and who will bear those costs. The money comes from a wide variety of Revenue, nearly $1.17 million from the Office The bill would require that more specific sources within the departments of Health and of the Attorney General, and $1 million from information be included in the statement. Human Services, including $7.8 million from the Facilities Repair Account. The smallest “Agencies now outline probable costs but are department operating budgets. About $9 mil- proposed cut is $300 from the State Band. not as detailed as one would like,” Seifert said, lion would come from one-time sources, and The bill makes it easier to contract with pri- encouraging the more detailed cost break- would primarily include funds not yet allo- vate companies for state services valued in ex- downs. “This may not get the perfect product, cated this year by grant programs, such as cess of $5,000 by eliminating a provision that but it is better than we have now.” those designated for eliminating health dis- would require agencies to certify that a state Administrative rules are enacted by state parities and those for investigations to prevent employee is not available nor able to perform agencies and have the full force of law. In many fraud. such services. cases, agencies are allowed flexibility in estab- Another $19.7 million would come from One of the more contentious parts of the lishing rules, though a public hearing process structural changes to the departments, includ- bill is a mechanism for salary savings among is often required. Legislative approval is also ing a reduction in state reimbursements to phar- state employees. required in some cases. macies that provide low-cost drugs, and $3.5 The bill gives department heads the ability Noting that agency rules can sometimes million from a Women, Infants, and Children to require unpaid leave for their employees mean large mandates on communities, Rep. (WIC) program that provides certain clinical before the fiscal year ends on June 30. Employ- Tony Kielkucki (R-Lester Prairie) successfully services and nutritional advice to low-income ees on unpaid leave would continue to accrue offered an amendment that would require leg- women and families. The so-called “Cover All vacation and sick leave, seniority, service credit islative approval if aggregate costs are esti- Kids” legislation that passed during the 2001 towards their retirement plans, and would re- mated to exceed $100 million in the first 10 Special Session and would gradually expand state tain their insurance benefits as if they were years. “I’m trying to get the Legislature in- health care coverage for children — a priority of working during the unpaid leave. volved, especially with big ticket items.” former-Gov. Jesse Ventura’s administration — “This says that if we all do our part we can get A second successful Kielkucki amendment would also be repealed. through this instead of having to lay people off,” would allow a local elected governing body to The bill would lower the income limit of Haas said, noting that salary savings is occurring request that the finance commissioner prepare some assistance programs such as child-care at many places in corporate America. a local impact note on a proposed rule. This assistance through the Minnesota Family In- Julie Bleyhl, legislative director for AFSCME applies to cities, townships, counties, school vestment Program (MFIP). Previous law al- Council 6, said she believed the salary savings districts, and sanitary districts. The request lowed the commissioner to establish income requirement would impair existing agreements. must be made prior to a public hearing on a limits, but the bill would dictate that assistance When the Legislature adjourned last May no proposed rule, or before the deadline for re- would be available for those with incomes up contracts were signed, but the commissioner questing a public hearing if an agency plans to 250 percent of federal poverty guidelines. of employee relations and the two unions rep- to adopt the rule without a public hearing. The 2002 poverty guideline for a family of four resenting state employees signed contracts that The bill’s Senate companion, SF61, spon- was $18,100. the Legislature failed to approve in 2002. As a sored by Sen. Don Betzold (DFL-Fridley), In addition, the bill would make non- result, they are in effect on an interim basis awaits action in the Senate State and Local citizens ineligible for most state-funded aid pending Legislative approval. However, the Government Operations Committee. programs, including prenatal services. Legislature can reject the contracts making the The bill would raise $12.5 million by increas- salary savings not violate the contract. If the ing the surcharge paid to the state by non-state- Legislature does not give its approval, the con- operated nursing homes. That surcharge had tracts cease to be effective as of the day the been raised last year in budget-balancing efforts. Legislature adjourns.

Session Weekly 9 Though most of the bill deals with the Health base increase,” said Rep. Gene Pelowski, Jr. refund on sales tax paid on capital equipment and the Human Services departments, the De- (DFL-Winona). purchases, and to receive interest on that refund. partment of Children, Families and Learning also Laura King, MnSCU vice-chancellor for fi- At 5 percent this year, the interest is calculated receives $667,000 in grant cuts and child-care fee nance, said when the $25 million base cut this from the date the refund claim is submitted. increases and eligibility adjustments. year and in each year of the next biennium is Under the proposed bill, the state could de- added to the $105 million they planned to pro- lay for 90 days the commencement of sales tax pose in additional funding for the next bien- accrual. The bill doesn’t require that the state nium, and likely won’t receive, that could delay payment for 90 days, however. HIGHER EDUCATION equate to upwards of a cumulative 40 percent According to nonpartisan House researchers, ★ tuition increase by 2005. However, she is quick the state refunded $172.6 million in capital Trimming college budgets to point out that is not the direction the sys- equipment sales taxes in 2002. Forty-five percent In many business and economics classes, tem is looking toward as a solution. of refunds were paid within 12 days while the college students are taught about having to do Rep. Ron Latz (DFL-St. Louis Park) ques- remainder was paid in an average of 40 days. more with less. The same could be said for in- tioned the wisdom of rushing this through with- Rep. Ann Lenczewski (DFL-Bloomington) stitutions of higher learning. out a significant grasp of what the cuts may mean equated delaying sales tax refunds to a tax in- As part of the budget reduction plans to people, such as having to stay in school longer. crease for businesses. In the past, when a fee (HF137), the House Higher Education Finance Conversely, Rep. Doug Meslow (R-White Bear wasn’t collected the Legislature viewed it as a tax Committee approved a supplemental budget bill Lake) said he thinks now is the time to make the cut, she said. Conversely, when a sum isn’t reim- Jan. 22 that calls for $81.5 million in cuts. The cuts because it gives the systems more choices bursed it should be viewed as a tax increase. University of Minnesota and the Minnesota State on where to make the cuts. “We don’t do them “From a rhetorical standpoint I think it’s a Colleges and Universities (MnSCU) would each any favors by delaying the process,” he said. debate we’ll continue to have throughout this absorb a $25 million general fund hit, while the whole session,” Lenczewski said. Higher Education Services Office (HESO) would TAXES Rep. Tom Rukavina (DFL-Virginia) said the face a $1.5 million cut. ★ bill simply shifts the state’s obligations into the Combined, the total represents about Equipment refunds next biennium. 17 percent of Gov. Tim Pawlenty’s targeted $468 The House Taxes Committee approved a bill “I hope people realize when you increase a million budget reduction for fiscal year 2003. Jan. 21 that would allow the state to delay in- citizen’s or business’ obligation to the state or The proposed cuts are now headed to the terest payments on sales tax refunds for busi- a local unit of government that it’s a tax in- House Ways and Means Committee. ness capital equipment purchases. crease,” Rukavina said. Pawlenty recommended cuts of nearly The bill now moves to the House Ways and But Rep. Pete Nelson (R-Lindstrom), a small $107,000 each year for HESO, but Rep. Doug Means Committee, where it may be incorporated business owner, disagreed. Businesses make Stang (R-Cold Spring), the committee chair, into a larger bill for consideration by the full capital equipment purchases, he said, to effect said that fund balances indicate there was ad- House. The measures are designed to address the business improvements, not to make money ditional money that could be used to help with state’s $356 million deficit for fiscal year 2003. on sales tax refunds. the budget situation. Current law allows businesses to receive a “I do not see this as being a negative,” he said. “This means we will have to look at other program reductions outside the student grant program,” said HESO Director Robert Poch. EAGLE CENTER FLAP Additionally, HESO would lose $30 million from its Student Education Loan Fund (SELF) program, which provides long-term, low in- terest loans to Minnesota residents for post- secondary schooling and non-Minnesota residents attending Minnesota schools. This is a one-time reduction. Without knowing specifics at this time, Chris- tine Maziar, executive vice president and provost at the University of Minnesota, said the cuts “will be felt by every campus, every college, and every support service.” She said midyear tuition hikes are not part of the solution. MnSCU Chancellor James McCormick said the system’s institutions are already serving more students with less money. He said he expects a combination of cuts and “spending all or almost all of our reserves,” noting he will not take the reserves from one campus to help another. He said administrators have no intention of raising tuition this spring. PHOTO BY KRISTINE LARSEN “We all need to think about this and think Sandy Runnigen from the National Eagle Center in Wabasha holds Angel, a 4-year-old about the record enrollments plus the loss of bald eagle, during a Jan. 21 protest of the governor’s budget proposal to cut a $500,000 matching grant to the center.

10 January 24, 2003 T ISSUE: AGRICULTURE A★ ★ ★

Republican members countered that the bill protects the economic viability of the plants All for one and maintains the state’s commitment to etha- nol production. “This bill treats all plants Governor’s plan to cut ethanol payments prompts rural fairly,” said Rep. Elaine Harder (R-Jackson), the Minnesotans to join together to protect their livelihood committee chair and sponsor of the commit- tee bill. “I believe that the ethanol program was established to encourage the production of BY TOM LONERGAN Following the Speaker’s lead, the commit- ethanol, not to determine the winners and los- thanol supporters rallied around the cause tee approved a bill Jan. 22 that would reduce ers among ethanol plants.” of saving producer subsidies from budget the producer payments by about $5.4 million According to the state Department of Ecuts, after the House began considering for the remaining fiscal year. The bill (HF143) Agriculture’s 2002-03 biennial report, ethanol Gov. Tim Pawlenty’s proposed cut to the state’s now moves to the House Ways and Means consumption in the state has increased twelve- ethanol program. Committee. fold since 1988 to an estimated 260 million On Jan. 16, two days after the governor’s Pawlenty’s proposal would have eliminated the gallons per year in 2001, replacing more than announcement that he planned to cut the cal- three remaining quarterly ethanol producer pay- 10 percent of the 2.5 billion gallons of gaso- endar year’s remaining state payments to etha- ments this calendar year of $26.8 million. The line the state consumed. In addition, the re- nol producers as part of balancing the fiscal committee’s action would restore the three pay- port noted, ethanol has created a market for year 2003 budget, several hundred protesting ments but at a lower rate – 16 cents per gallon. some 122 million bushels of Minnesota grain, farmers and ethanol plant officials packed the In addition, the committee indicated a hope that has fostered economic development in rural House Agriculture and Rural Development future legislatures would restore cuts from the areas, and has created jobs in plant construc- Finance Committee’s first meeting of the leg- current fiscal year and from 2004-05 when eco- tion, expansion, and operation. islative session. nomic conditions are better. Specifically, mem- According to the report, ethanol plant profit “We’re not against sharing some of the pain,” bers suggested extending the 10-year period margins “have been squeezed by periods of said Joe Johanson, general manager of Min- ethanol plants are eligible for the subsidy. high corn prices and low ethanol prices.” The nesota Energy in Buffalo Lake, among the DFL committee members wanted the state’s ethanol producer payment program was smallest of the state’s 14 ethanol plants. “But current year’s ethanol payments fully restored developed on a 10-year basis, to allow plants you’ve got to understand, let’s not go to mur- and questioned whether the Republican ma- to retire debt, increase efficiency, and develop der, either. If we don’t have that producer’s new products and mar- credit, we’re in trouble.” kets, “so they can sur- The vast majority of the state’s ethanol vive the competition plants are cooperatives of member farmers, and price fluctuations who supply corn for the fuel additive. in agricultural and pe- “This is a country deal. It’s a rural deal,” said troleum markets.” Dale Tolifson, board chairman of Chippewa While some plants have Valley Ethanol in Benson. “It affects a lot more been successful, an ex- than the ethanol plants.” tension to the producer Ethanol is an alcohol produced by the fer- payment program may mentation of starches. Since 1988, the state has be the boost they need paid ethanol plants a credit (now 20 cents per to remain viable, gallon produced) for manufacturing the oxy- according to officials. genated fuel additive. The maximum credit “The infrastructure is payment each plant can receive annually is there,” said Brad PHOTO BY TOM OLMSCHEID capped at $3 million. About 97 percent of the Producer payments for ethanol plants would be cut by $5.4 million, under Nelson, board member state’s gasoline is blended with ethanol. the budget-cutting plan being debated in the House. This plant, in Buffalo of Agra Resources Co- The proposed ethanol cut put Agriculture Lake, Minn., is one of the state’s smallest and most dependent on the state op in Albert Lea, “so Commissioner Gene Hugoson, who was also part aid. let’s keep it strong. We of the Ventura administration, on the spot. “I will jority in the House has plans to cut additional are part of the solution, so why pull the rug be the first to admit this was a shock,” Hugoson rural economic development initiatives. out from under us?” told the committee. “We were moving ahead with “Where is the money coming from?,” asked In its budget-balancing bill, the Senate re- the assumption of smaller cuts.” Rep. Al Juhnke (DFL-Willmar), the lead DFL stores all but $2 million of the governor’s House Speaker Steve Sviggum (R-Kenyon), member on the committee. “Are we going to proposed cut in ethanol payments. a farmer and investor in the Al-Corn Clean start robbing Peter to pay Paul, pitting rural Fuel ethanol plant in Claremont, told the com- against rural? None of us are going to be ahead mittee that the governor’s cut would not pass in the long run.” in the House.

Session Weekly 11 T ISSUE: TRANSPORTATION A★ ★ ★

highway helper program; • $500,000 to Public Safety Department Planes, trains, automobiles administration; • $275,000 to transit administration and mo- Transportation finance plan would free up nearly tor carrier regulation in the Department of $150 million to help balance $356 million projected deficit for 2003 Transportation; and • $1 million to the Division of Driver and Ve- hicle Services in the Department of Public BY MICHELLE KIBIGER $11.1 million in trunk highway funds annu- Safety. transportation finance plan would free ally to cover the financing costs associated with The latter would equate to doubling the up about $148.6 million in the state’s the sale of trunk highway bonds. open vacancies in the division and add weeks Ageneral fund for fiscal year 2003, ac- “We could just pass this off on the depart- to the processing times for driver’s licenses and counting for nearly 42 percent of the projected ment and wash our hands of it, go back to the vehicle registration, department officials said. budget deficit. public and say, ‘The department did it,’” said “We understand as part of the team that we The plan (HF139), approved by the House Rep. William Kuisle (R-Rochester), commit- have to take a hit just like everybody else,” said Transportation Finance Committee Jan. 21, tee chair and bill sponsor. “I think it’s fair to Sara Schlauderaff, assistant commissioner for would mainly authorize the conversion of the public to take the votes and identify the the Public Safety Department. “It feels like $130 million in general fund appropriations cuts.” there’s a total loss to the public. It’s really a from the 2000 Legislature to trunk highway Among the annual cuts identified are the blow to our driver services.” bonds. The cash, though unspent, is desig- following: Other testifiers expressed concern regard- nated toward projects already underway. • $1.8 million in Transportation Department ing general fund cuts of $2.6 million annually Transportation officials testified that all but design and engineering; to Metropolitan Council transit operations. about 20 percent of the projects involving the • $2 million in state road operations; At the Jan. 16 meeting, Nacho Diaz, plan- funds have been bid and the contracts • $4 million in technology and general sup- ning director for Met Council transit opera- authorized. port expenditures; tions, explained that service would likely be As part of the package, the committee spe- • Reducing transportation worker training by adjusted by fewer buses running particular cifically identified cuts in both the state Trans- $500,000; routes as a result of the proposed cuts, but portation and Public Safety departments of • $1 million through the elimination of the most of the cuts could be absorbed short term

The basics of transportation funding

The vast majority of transportation funding • According to the constitution, the trunk high- projects based on the amount a city needs to – 95 percent – comes from special funds, such way fund monies can only be used for im- bring the streets up to state standards. as the trunk highway fund. These funds are spe- provements to the trunk highway system. • The remaining 5 percent in the fund is distrib- cifically dedicated to various purposes under uted to town roads and bridges for improve- 2. The highway user tax distribution fund, the constitution. ments and is also available in a flexible account most of which benefits the trunk highway fund, for turnback roads, those that are being turned Below is a basic outline of how those funds receives money from three sources: gas taxes, back to a municipality for maintenance. are allocated and where they come from. vehicle license taxes, and 32 percent of the mo- • The highway user tax distribution fund was es- tor vehicle sales tax. 1. Most of the state’s highway funding comes tablished by constitutional amendment in • 95 percent of the funds are spent on the state’s through the trunk highway fund, which ac- 1956. Funds from it may not be used for any trunk highway, county state-aid highways counted for $1.17 billion in fiscal year 2002. The purpose other than road improvements. and municipal state-aid streets. money comes from the following sources: • 62 percent of the 95 percent goes to the trunk 3. Motor vehicle sales taxes are distributed to • 62 percent of the highway user tax distribu- highway fund for major state highway three places: 32 percent to support the reduction tion fund goes to the trunk highway fund. improvements. in motor vehicle license fees from 2000, 24 per- Highway user taxes include gas taxes, ve- • 29 percent of the 95 percent goes to the county cent for transit, and about 44 percent to the gen- hicle license fees (i.e. vehicle tabs), and a state-aid highways. The funds are distributed eral fund. portion of the motor vehicle sales tax (32 in four ways – equal portions to each county, • Transit funding is primarily from the general fund percent). Highway user funds accounted for a portion based on the registered vehicles and motor vehicle sales taxes. There is no con- about 63 percent of all trunk highway fund- within the counties, a portion based on the stitutionally dedicated funding source. Transit ing in fiscal year 2002. number of county state-aid lane miles in the encompasses buses, light rail, commuter rail, • About 25 percent of trunk highway funds in county, and a large portion based on needs and other forms of mass transportation. 2002 came from federal highway aid. within the county to bring designated roads • 20.5 percent of transit funds go to the Twin Cit- • All proceeds from the sale of trunk highway up to acceptable state standards. ies metropolitan area, and those funds are ap- bonds go into the trunk highway fund. • 9 percent of the 95 percent goes to the mu- propriated to the Metropolitan Council. • Other inputs include state patrol fines, driver’s nicipal state-aid streets. Of that money, half • 1.25 percent of transit funds go to Greater Min- license fees, the transportation loan fund, and is disbursed evenly among cities with popu- nesota transit, and they are disbursed by the other income, including investment income. lations above 5,000 and half is given to state Department of Transportation.

12 January 24, 2003 Congress

Senator Mark Dayton (DFL) SR-346, Russell Senate Office Building Washington, D.C. 20510 (202) 224-3244 Fax: (202) 228-2186 Senator Norm Coleman (R) B-3 Dirksen Senate Office Building Washington, D.C. 20510 (202) 224-5641 Fax: (202) 224-1152 First District Gil Gutknecht (R) 425 Cannon House Office Building Washington, D.C. 20515 (202) 225-2472 Fax: (202) 225-3246

PHOTO BY KRISTINE LARSEN Second District Members of the House Transportation Policy Committee toured the Minnesota Valley Transit Authority’s John Kline (R) Burnsville Transit Station Jan. 21 as part of a two-stop tour that also included a transit hub in Eden 1429 Longworth House Office Building Prairie. Washington, D.C. 20515 (202) 225-2271 by the council. Diaz said the council could and deposited in the fund have been lowered utilize federal money for some operating ex- in recent years to slow the fund’s growth. How- Third District penses, but only temporarily. Raising fares and ever, the funds pay for projects at the smaller Jim Ramstad (R) 103 Cannon House Office Building cutting routes would not be an option, he said, airports throughout the state, and a number Washington, D.C. 20515 because of the public notice that is involved, of members expressed concern about the vi- (202) 225-2871 which would delay the implementation. ability of those projects if the fund is depleted. Fax: (202) 225-6351 Others expressed concern about the transit Also part of the bill would be the authori- Fourth District cut, and the cancellation of bonds for plan- zation to sell the state jet. The state has a fleet Betty McCollum (DFL) ning a light-rail transit line between Minne- of three planes. The jet in question was pur- 1029 Longworth House Office Building apolis and St. Paul. The project, still in the chased by the state from the U.S. Drug Washington, D.C. 20515 planning stages, requires a local match to re- Enforcement Administration, which confis- (202) 225-6631 ceive federal funding. The bonds, initially is- cates planes as part of enforcement operations Fax: (202) 225-1968 sued in 1998, would have been cancelled at the and sells the planes to states and local govern- Fifth District end of the 2003 fiscal year without re- ments at a low price. The governments then Martin Olav Sabo (DFL) appropriation by the Legislature. The cancel- refurbish the planes for their own use and 2336 Rayburn House Office Building lation is officially dealt with in the House Capi- must keep them in their fleet for at least five Washington, D.C. 20515 (202) 225-4755 tal Investment Committee’s proposal. years before trying to sell them. Fax: (202) 225-4886 Business groups testified to the importance The state was planning to sell the plane soon, of good transit options in the urban area, par- since it recently reached the five-year mark, Sixth District Mark Kennedy (R) ticularly in the I-94 corridor between down- said Kevin Gray, chief financial officer for the 1415 Longworth House Office Building town Minneapolis and St. Paul, which carries state Department of Transportation. It is too Washington, D.C. 20515 about 38,000 riders per day. large to land on most of the runways at the (202) 225-2331 “Let there be no mistake about it – this is a state’s airports, making it difficult to use for Fax: (202) 225-6475 job issue in Minnesota,” said Sherry Munyon, regional travel. The department estimates a representing the Minnesota Public Transit $750,000 sale price. Seventh District Collin Peterson (DFL) Association. The bill, which will be introduced as a com- 2159 Rayburn House Office Building The bill would also transfer a portion of the mittee proposal, will be included in a larger Washington, D.C. 20515 airports fund balance – $15 million – to the bill that balances the entire projected deficit (202) 225-2165 general fund. Officials testified that the fund for 2003. Its next stop is the House Ways and Fax: (202) 225-1593 has accumulated money faster than it can be Means Committee. Eighth District spent on projects, and in fact the taxes collected James L. Oberstar (DFL) 2365 Rayburn House Office Building Washington, D.C. 20515 (202) 225-6211 Fax: (202) 225-0699

Session Weekly 13 EOPLE P★ ★ ★

going to serve Minnesota very well.” Rep. Jeff Johnson (R-Plymouth), one of Up to the challenge seven assistant House majority leaders, said Paulsen ready to fill some big shoes as majority leader by that only two weeks into the session Paulsen is doing a great job. making strides of his own “He has an ability to kind of weather the storm and keep people on task and bring people together even when the is- BY MIRANDA BRYANT sues tend to be divided a little bit,” he second youngest daughter of Rep. Erik Johnson said. Paulsen (R-Eden Prairie) may only be A former investment advisor, 4, but she knows her father is equipped to T Paulsen said he is respected by a be the House majority leader. lot of different factions within his When Paulsen and his wife, Kelly, sat their caucus, as well as by many four daughters down to explain Paulsen’s new DFL members. leadership role, Paulsen mentioned Tim “I think that sort of speaks to Pawlenty. Now Minnesota’s governor, the character of how I’ll carry out Pawlenty was House majority leader from 1999 the position,” Paulsen said. to 2002. Paulsen was one of 31 repre- “Daddy has some big shoes to fill,” Paulsen sentatives to receive the Taxpayers said, recalling his family announcement. It was League of Minnesota’s “Friend of then he felt little Taylor pulling on his left the Taxpayer” Award for his 2001 shirtsleeve. voting record. He was also one of “But dad,” she said, “you have really big feet.” nine legislators to be named a 2001 And those size-13 feet are moving a lot these honoree of the Legislative Evalua- days as Paulsen tends to his constituents in tion Assembly of Minnesota. The District 42B and to the other 79 Republican group bases its evaluation on con- members in the House of Representatives. stitutionalism, limited govern- Elected by colleagues to be House majority ment, free enterprise, legal and leader, the 37-year-old is charged with inter- moral order with justice, and in- nally managing the caucus and overseeing de- dividual liberty and dignity. bate on the House floor. And while Paulsen was asked by “It’s certainly more time consuming and constituents to consider running for more overwhelming,” said Paulsen, who said a U.S. Senate seat that opened up fol- he’s now so busy that he can’t plan his sched- lowing redistricting, he is content to ule more than one day in advance and must remain with the Minnesota Legisla- have his assistant answer his phone. PHOTO BY ANDREW VON BANK ture. Paulsen said he reached his de- Part of his mission as majority leader is to Rep. Erik Paulsen will serve as House Majority Leader for the cision not to seek office in ascertain and utilize the talents and strengths 2003-04 Legislative Session. Washington, D.C. after considering of House Republican members. Paulsen de- which elected position would allow him to do scribed the 30 newcomers to his caucus, many colleague to turn to (in the governor’s office) the most good, particularly for the people of of whom were recruited by House Speaker makes a difference,” Paulsen said. Eden Prairie. Steve Sviggum (R-Kenyon), as “top notch.” And what can be expected of Paulsen’s lead- “I have never had a planned calculated path “They’re outstanding individuals,” said ership style? to anything I’ve ever done,” Paulsen explained. Paulsen. “They’re really excited and they’re “I don’t talk for the sake of talking,” he said of “A new door opens and you just step into the really hard workers. They really believe in the his responsibility to control debate on the House opportunity.” difference they’re going to make.” floor. Paulsen added that he is analytical, Paulsen said he anticipates introducing a bill Paulsen, now serving his fifth term as a rep- thoughtful, and not prone to impulsive action. to establish the power of initiative and refer- resentative, admitted he benefits from good Rep. Gene Pelowski, Jr. (DFL-Winona), DFL endum in Minnesota. Such legislation allows relationships with other leaders. Sviggum, a lead on the 2002 redistricting committee, said individuals to place qualified items on the bal- fellow St. Olaf College math graduate, and it was a joy to work with Paulsen, who chaired lot for voter consideration. The bill was twice Paulsen are doing weekly Monday community the committee. previously passed by the House, but did not meetings across the state this session. And “They couldn’t have picked a better person gain Senate approval. Pawlenty, also a Republican, has offered to be majority leader in their caucus,” Pelowski Said Paulsen, “I have always been a big ad- advice to his replacement. said. “If he does the same type of job as ma- vocate of allowing voters to correct the Legis- “Knowing we have a friend and former jority leader as he did in redistricting, he’s lature when it’s wrong.” 14 January 24, 2003 EOPLE P★ ★ ★

finance, regulated industries, and environmen- tal and natural resources policy. He was espe- Family ties cially pleased to be named vice chair of the latter, particularly since he’s a freshman. Cox wins a close one and resumes family presence in St. Paul, at a Higher education finance appealed to the time when family concerns at home aren’t pressing any longer 51-year-old due to the presence of Carleton College and St. Olaf College in his district. Cox said he knows the K-12 education system thor- BY MIRANDA BRYANT surprised when Sviggum, known as a dedi- oughly, but is reading a lot to learn about Freshman legislator Rep. Ray Cox cated recruiter of legislative candidates, asked higher education. Throughout the day he (R-Northfield) isn’t alone in his service to his him to run for the District 25B seat vacated by tosses relevant documents into a box in his district. He is surrounded by a large family Republican Rep. John Tuma. office that he takes home at day’s end. history related to state “I’ve always been interested in politics,” said Cox says he’s a strong advocate for higher government. Cox, who served on the Northfield School education, realizing how important a college His mother, Marjorie Cox, Board for 15 years, five as chair. degree was to his mother, who raised six chil- ran for the same legislative But, he explained, the school board posi- dren by herself. “Without an education she seat that he now holds. His tion was nonpartisan. “It’s one thing to run would have really been in tough shape.” great grandfather, Edwin for the school board; it’s another to put a little On the House Environment and Natural Cox, served in the Legisla- ‘R’ behind your name.” Resources Policy Committee, Cox hopes to see Rep. Ray Cox ture in the late part of the For his part, Sviggum had no doubts about the House and Senate pass legislation banning 19th century. And his grandfather, W.T. Cox, Cox’s potential. phosphorous in dish detergents and fertiliz- was the first commissioner for what is now the “Ray Cox brought immediate respect and ers. With a $4.2 billion projected budget defi- Department of Natural Resources. credibility to the race for the open House of cit looming over the upcoming biennium, “It’s nice to know there are people connected Representatives race,” Sviggum said. “Ray had timing is right for such a no-cost measure. to the family that have gone on before you,” the right background of experience, commu- “I think it can be a wonderful time to do said Rep. Cox. Cox himself said he had previously been asked to run for state office, but always de- “It’s nice to know there are people connected to the clined, citing the young age of his children. “I family that have gone on before you.” give credit to all these people who have little — Rep. Ray Cox kids,” Cox said of his colleagues. “I don’t know how they manage it.” “Unlike some people, I did not have a hole burning in my heart to be here,” said Cox, sitting nity involvement, and philosophy to represent things that don’t have a lot of cost,” Cox said. in his new fourth-floor office. District 25B well.” Constituents have also let Cox know what is- Cox was already busy with other obligations While the speaker welcomed Cox, the fresh- sues are important to them: maintenance of the – owning a construction firm; supporting en- man legislator wasn’t the preferred candidate current concealed weapons permit process; traf- vironmental causes, such as a nature preserve for all voters. In fact, Cox’s general election fic congestion relief; preservation of clean air and in his district; and serving on the local school victory of 20 votes was so thin that a recount water measures; and guaranteed use of state lands board, the chamber of commerce board, as was ordered. In the end he won by 44 votes, for recreation, hunting and fishing. well as on the board of the Northfield Indus- out of nearly 18,000 ballots cast. trial Corporation, a private group that pro- “It’s not exactly what you would call a man- DISTRICT 25B motes business development. date, but it pushed me in the door,” Cox said. Children Tristan, Marja, and Diana are all He attributed the close election results to grown now, either having recently completed the political diversity of his district. People liv- 2002 population: 36,590 Largest city: Northfield or currently pursuing college degrees. As such, ing in and directly around Northfield have tra- Counties: Rice, Scott Cox didn’t have as much reason to defer the ditionally supported more liberal candidates, Location: southern edge of the Twin Cit- latest request that he seek a position in the while other towns near Faribault have sup- ies metropolitan area Minnesota House of Representatives. ported candidates with more conservative Top concern: “I would like to see if some As Cox recalled, Speaker of the House Steve viewpoints. issues related to the environment could Sviggum (R-Kenyon), came calling. Cox as- The St. Olaf College graduate received ap- get committee hearings and be passed.” sumed Sviggum simply wanted a larger-than- pointments to all the House committees on – Rep. Ray Cox usual campaign contribution. He was a bit which he wanted to serve – higher education

Session Weekly 15 EOPLE P★ ★ ★

remain a center point for this region of the country depends on support of projects like Making the choice the Guthrie Theater expansion and a new Rather than leaving it to others, Ellison hopes his position in planetarium.” Former Gov. Jesse Ventura ve- toed state bond support for the Guthrie ex- the House can affect issues important to him pansion in 2000 and 2002 (the Legislature overrode the first veto) and vetoed bonding money last year for the planetarium. BY TOM LONERGAN shadow of a doubt,” said Rev. Al Gallmon, Ellison said the projected $4.56 billion bud- Rep. Keith Ellison (DFL-Mpls) has a motto president of the NAACP’s Minneapolis chap- get deficit will be difficult to address given Gov. he likes to use: “If you want to see change, you ter. “He is truly an advocate for children.” Pas- Tim Pawlenty’s pledge to not increase taxes have to take personal responsibility for it.” tor of Fellowship Missionary Baptist Church and hold the line on K-12 education The lawyer and former ra- in north Minneapolis, Gallmon recently served spending. dio talk show host did just on the Minneapolis school board. Gallmon “We’re saying 60 percent of the current bud- that when he had a choice said Ellison has “large shoes to fill,” referring get is going to bear 100 percent of the cuts,” he of running for the Legisla- to former State Rep. Gregory Gray, who ran said. “That’s going to be a problem. Any bal- ture or “sitting at home for State Auditor last year rather than seek re- anced budget needs to be a just budget, a fair thinking about safe neigh- election to the Legislature. budget. Everyone should share a little bit of borhoods, community eco- Ellison said he wants to “make an impact” the pain.” Rep. Keith Ellison nomic development, better on the committees he’s been appointed to, in- Ellison looks forward to working with the schools and not doing anything about it,” he cluding the House Judiciary Policy and Fi- Republican majority in the House. “Republicans said. nance Committee. “I’m an advocate of public are the opposition, not the enemy,” he said. “That’s the genesis of why I ran,” Ellison safety with respect for individual rights,” he “There’s a big difference. We all want safe com- said. State representative is the first public of- said. “Public safety and individual rights have munities. How do we get there? We agree that fice the 39-year-old Detroit native has held. to walk hand in hand like twins.” the economy should be strong for District 58B includes the hub of the Afri- He also serves on the Governmental Opera- can-American community in north Minne- apolis and a major portion of downtown, east of the Mississippi River. “My challenge is how we come to some basic agreement on The district includes, “people who pay $300 improving the quality of life for everyone.” a month in rent and $3 million condomini- — Rep. Keith Ellison ums on the river,” Ellison said. “We have a high degree of poverty and unemployment, as well as multi-million dollar deals negotiated in tions and Veteran Affairs Policy and Local everyone but we disagree on the methodology.” those buildings downtown.” Government and Metropolitan Affairs Ellison doesn’t necessarily see issues as city His role in such a culturally and economi- committees. versus suburb. “Brooklyn Center has a lot in cally diverse district, Ellison said, is to bring Ellison said his goals during his two-year common with north Minneapolis,” Ellison people together. “My challenge is how we come term are “big and broad.” said. “It’s not a matter of the poor cities and to some basic agreement on improving the He wants to increase knowledge and aware- the rich suburbs any longer. Not all suburbs quality of life for everyone.” ness of the political process in his district, par- are created equal.” Ellison earned his law degree from the Uni- ticularly among young people. He’s a volunteer track coach for several organizations, work- versity of Minnesota Law School and holds an DISTRICT 58B economics degree from Wayne State Univer- ing with youth between the ages of 5 and 18. sity in his hometown of Detroit. He’s called “It’s a great community building device be- 2002 population: 36,687 Minneapolis home for the past 16 years. cause it’s for all ages and all genders,” Ellison Largest city: Minneapolis Ellison and his wife, Kim, a teacher, have four said. “Everyone can find a way to fit in.” County: Hennepin children between ages 6 and 14. Local government aid is critical in his dis- Location: north Minneapolis An attorney by trade, his specialties are in trict for supporting vital services like police, Top concern: “My goal is to approach civil rights, employment, and criminal defense fire, parks, and recreation, Ellison said. “I don’t this term with a sense of hope and op- law. Prior to entering private practice, Ellison think there is a city with a better parks system. timism. I want to make people in my was executive director of the nonprofit Legal I believe parks play as vital a crime prevention district feel comfortable coming to the Rights Center in Minneapolis. For eight years role as the police do.” Capitol and having a voice.” he was also the unpaid host of a public affairs Minneapolis’ cultural attractions draw tour- — Rep. Keith Ellison talk program on KMOJ radio. ists from across the state and throughout the “His heart is in the community, without a upper Midwest, he said. “Whether we can

16 January 24, 2003 EOPLE P★ ★ ★

property or individual incomes taxes. And in- vestors would not pay business income and Youth and understanding capital gains taxes on relative investments. Finstad brings range of experience with agricultural issues, “It’s important for us to stimulate business growth and create an environment where seeks to be a vocal ally for state farmers people want to come out” to rural areas, said Finstad. The freshman legislator was also assigned BY MIRANDA BRYANT effective voice for his constituents.” to the House Health and Human Services Fi- It’s true that Rep. Brad Finstad (R-New Finstad used his voice to land himself on nance and Policy committees. Admitting that Ulm) is the youngest male legislator currently the House Agriculture Policy and finance com- he didn’t request such assignments, he is pre- in the House of Representatives. But it may mittees. There he will likely share his opinion paring himself by reading copious amounts of also be true that his experi- that state regulations and excessive environ- background information. ence outweighs his 26 years. mental rules are making it increasingly diffi- “I consider myself a student of this,” he said, The first-time legislator cult for the farming industry. patting a thick three-ring binder titled “HHS” served two years as the agri- Today Minnesota has 6,500 dairy farmers. on his desk. Already he has noted the impor- culture advisor to U.S. Rep. But 10 years ago it had 13,891, according to tance of issues affecting rural ambulance ser- Mark Kennedy (R-Minn.). the state Department of Agriculture. vice and an aging population. And he arranged for a group When a farm closes, Finstad said, it takes When the countless acronyms often used in Rep. Brad Finstad of 20 Minnesota farmers to away an opportunity for a future generation the health and human services field stymie meet with U.S. Vice President Dick Cheney last to farm. him, Finstad consults his wife, Jaclyn, who re- year to discuss value-added agriculture and al- The son of a farmer, Finstad understood the cently became administrator of an assisted ternative energy sources. message he heard repeatedly from farmers living facility. “However old I am doesn’t matter,” said while campaigning: “Bring back our kids.” Finstad said he was proud to have his par- Finstad. “I have a passion. … I’m here to learn.” Finstad was one of 76 in his high school gradu- ents at his swearing-in ceremony Jan. 7. It was His largest experience with local farming ating class. Today, only 10 classmates live an opportunity for him to demonstrate to his issues, however, was gained as an area director within 25 miles of their hometown. The parents that their hard work in raising him had paid off. The best part about the ceremony, “I saw first-hand how one person can make a said Finstad, was seeing his dad “trying out” his son’s desk in the House chamber. difference. I also saw first-hand how common Brad and Jaclyn’s first child is due to be born sense and a voice for agriculture are underserved.” May 20, one day after the legislative session — Rep. Brad Finstad must constitutionally draw to a close. The couple’s child will have the benefit of the same overall philosophy that Rep. Finstad for the Minnesota Farm Bureau Federation. others left for better job opportunities, lament- said he learned from his father and mother, His territory encompassed 13 southwest Min- ing the loss of an excellent quality of life, said Sharon. nesota counties. Finstad. “Take one day at a time. Remember God Finstad was charged with developing policy, Finstad himself originally wanted to farm gave us an opportunity.” communicating with lawmakers, and helping with his father, Howard, on the family’s 300- farmers understand the legislative process. He acre operation. But his father laughed when walked many farmers through the system, ex- he heard that, said Finstad. DISTRICT 21B plaining how to testify at a hearing, what oc- “He always would tell me, ‘There’s a better curs in committee meetings, and what takes life than farming for you,’” said Finstad, who place during the legislative session. graduated from the University of Minnesota 2002 population: 36,817 “I saw first-hand how one person can make with an agricultural education degree. “He Largest city: New Ulm a difference,” Finstad said. “I also saw first- wouldn’t be saying that if we got better prices Counties: Brown, Redwood, Watonwan hand how common sense and a voice for for crops.” Location: south-central Minnesota agriculture are underserved.” Economic development is key, said Finstad, Top concern: “We need to make sure we’re not regulating farmers off the Chris Radatz, director of governmental af- to rectifying the situation. farm.” fairs for the federation, says he is confident in One measure Finstad supports toward that – Rep. Brad Finstad Finstad’s ability to succeed at the capitol. goal is HF3, which calls for the creation of tax- “I think that even though he’s a freshman he free zones. If enacted, the bill would allow comes in with some really good work experience businesses in the zones to forgo sales, income, that should really put him ahead on the learning and property taxes for up to 10 years. Indi- curve,” Radatz said. “I think he can be a real vidual property owners would be exempt from 17 January 24, 2003 scheduled on Fridays. Noregular meetings are Resources FinanceResources Finance 5 FinanceDevelopment B 10 PolicyResources 5 FinanceDevelopment 5 Education PolicyEnvironment & Natural Health & Human Services Jobs & Economic 200 Education FinanceEnvironment & Natural Judiciary Policy & FinanceTaxes 10 B & Rural Agriculture PolicyCommerce Higher Education Finance Means and Ways 200 300S 10 200 HOUSE IN SESSION (3 p.m.) Resources FinanceResources Policy 5 FinanceDevelopment B 10 Affairs PolicyVeterans B Metropolitan Affairs 200 Environment & Natural Health & Human Services Jobs & Economic FinanceTransportation 200 Education FinanceJudiciary Policy & FinanceTaxes B 10 PolicyAgriculture PolicyCommerce & Operations Governmental 200 FinanceHigher Education 5 PolicyTransportation 10 300S 200 Capital InvestmentCivil LawLocal Government& IndustriesRegulated B Finance Government State 500N 5 10 Minnesota House of Representatives Resources FinanceResources Finance 5 FinanceDevelopment B 10 PolicyResources 5 FinanceDevelopment 5 Affairs PolicyVeterans B Metropolitan Affairs 200 Education Policy Natural & Environment Health & Human Services Jobs & Economic 200 FinanceTransportation 500S Education Finance Natural & Environment Judiciary Policy & FinanceTaxes 10 B & Rural Agriculture PolicyCommerce & Operations Governmental 200 PolicyTransportation 10 Capital Investment 200 Civil LawLocal Government& IndustriesRegulated B Finance Government State 500N 5 10 2003-04 Standing Committee Schedule MONDAY TUESDAY WEDNESDAY THURSDAY FRIDAY Veterans Affairs PolicyVeterans Policy B 10 Education FinanceGovernmental Operations & Health & Human Services 5 FinanceHigher Education Taxes 300S HOUSE IN SESSION (3 p.m.) 200 Rules & Legislative Administration and Ethics meet at the call of chair. Rules & Legislative Administration and Ethics meet at the call of chair. Rules & Legislative Administration and Ethics meet at the call of chair.B - Basement Hearing Room All rooms in State Office Building 1/17/03 Rules & Legislative Administration and Ethics meet at the call of chair. Rules & Legislative Administration and Ethics meet at the call of chair. to to to to 8:15 2:30 12:30 10 a.m. 12 noon

18 January 24, 2003 2:15 p.m. 4:15 p.m. 10:15 a.m. ILL INTRODUCTIONS J ANUARY 20 - 23, 2003 B ★ ★ ★ HOUSE FILES 109 - 182

Tuesday, Jan. 21 HF122—Jaros (DFL) HF134—Sertich (DFL) Transportation Policy Health & Human Services Policy HF109—Ruth (R) Hands-free cell phone use required in motor vehicles. Health maintenance organizations required to dis- close certain costs of highest paid employees. Education Finance HF123—Opatz (DFL) Career and technical levy programs levy made permanent. State Government Finance St. Cloud area joint planning district plan funding Thursday, Jan. 23 HF110—Smith (R) provided, and money appropriated. Civil Law HF135—Stanek (R) HF124—Rukavina (DFL) Family law reform and recodification including Ways & Means provisions relating to marriage dissolution, child Environment & Natural Resources Finance Public safety, criminal justice, and other related custody, child support, maintenance, and property Mesabi Station funding provided and money agencies appropriations modifications and reduc- division. appropriated. tions provided.

HF111—Opatz (DFL) HF125—Dempsey (R) HF136—Krinkie (R) Environment & Natural Resources Policy Governmental Operations & Ways & Means Previous land conveyance description corrected. Veterans Affairs Policy Capital projects appropriations canceled to the Mississippi River Parkway Commission sunset general fund, trunk highway bonds issued, and HF112—Pugh (DFL) extended. money appropriated. Civil Law Title, lien, and mortgage technical, clarifying, and HF126—Jaros (DFL) HF137—Stang (R) conforming changes provided. Taxes Ways & Means State convention center tax exemption clarified. Higher education appropriations reduced and bal- HF113—Hilstrom (DFL) ances transferred to the general fund. Judiciary Policy & Finance HF127—Carlson (DFL) Seizure of motor vehicle used to flee a peace officer Education Finance HF138—Haas (R) clarified. Special education; President and Congress memori- Ways & Means alized by resolution to carry through on their pledge State government appropriations reductions, and HF114—Stanek (R) to fund 40 percent of special education costs. state government operation procedures modified. Transportation Finance Trunk Highway 610 project completion funding HF128—Greiling (DFL) HF139—Kuisle (R) provided, bonds issued, and money appropriated. Governmental Operations & Ways & Means Veterans Affairs Policy Transportation Department and other state agency HF115—Paulsen (R) Voluntary clean campaign council, pledge, and ad- appropriations modified, trunk highway bonds is- Governmental Operations & vertising code established; and campaign expendi- sued, transportation commissioner directed to sell Veterans Affairs Policy tures definitions and disclaimers provisions clarified. a state aircraft, and funds transferred from the state Legislative days references removed from the state airports fund to the general fund. constitution by proposed amendment. HF129—Kahn (DFL) Governmental Operations & HF140—Bradley (R) HF116—Goodwin (DFL) Veterans Affairs Policy Ways & Means Transportation Finance Candidate affidavits required to include address of Health and human services appropriations reduc- Northstar commuter rail line funding provided, residence, and affidavits rejected which indicate tions bill modifying and establishing certain pro- bonds issued, and money appropriated. candidate does not live in the district of election. grams; regulating specified activities and practices; and providing for accounts, assessments, and fees. HF117—Goodwin (DFL) HF130—Clark (DFL) Commerce, Jobs & Economic Development Judiciary Policy & Finance HF141—Gunther (R) Elder care leave provided. Community policing efforts pilot project estab- Ways & Means lished, competitive grants provided, and money Economic development appropriations reductions HF118—Greiling (DFL) appropriated. provided, workforce services for the blind funding Governmental Operations & provided, funds transferred, and money HF131—Opatz (DFL) Veterans Affairs Policy appropriated. Governmental Operations & Open meeting law expanded to include caucuses and conference committee negotiations. Veterans Affairs Policy HF142—Seagren (R) Executive agency expenditure reporting method Taxes HF119—Thao (DFL) specified. Education finance appropriations reductions pro- Civil Law vided, and programs modified. HF132—Clark (DFL) Marriage solemnization alternate forms provided. Judiciary Policy & Finance HF143—Harder (R) HF120—Olsen, S. (R) Law enforcement agencies in cities of the first class Ways & Means required to notify community crime prevention Education Policy Agricultural and rural development appropriations groups of the outcome of criminal proceedings. transferred and reduced. Teacher licensing duplicative filing requirement eliminated; and license verification authorized us- HF133—Greiling (DFL) ing the Department of Children, Families and HF144—Abrams (R) Learning Web site. Governmental Operations & Ways & Means Veterans Affairs Policy Sales tax refunds on capital equipment and certain HF121—Clark (DFL) Campaign finance and reform bill providing for building equipment refunds interest payments Judiciary Policy & Finance clean money campaigns; campaign finance report- computed 90 days after filing. ing requirements; contribution, spending, and in- Assaulting a member of a community crime pre- vention group gross misdemeanor provided. dependent expenditure limits; public subsidies; and appropriating money. Session Weekly 19 HF145—Ozment (R) HF157—Anderson, I. (DFL) HF170—Kohls (R) Taxes Environment & Natural Resources Policy Civil Law Environment and natural resources appropriations Lake of the Woods County land conveyance Uniform conflict of laws-limitations act adopted transferred and reduced. authorized. regulating limitation periods of certain actions.

HF146—Strachan (R) HF158—Smith (R) HF171—Lenczewski (DFL) Judiciary Policy & Finance Ways & Means Governmental Operations & Uniform offense codes used by Bureau of Criminal State spending prohibited from increasing at a Veterans Affairs Policy Apprehension and local law enforcement to collect greater rate than the consumer price index by Casino; state-operated or state-licensed gambling crime data. amendment to the constitution. facility prohibited in a city that has adopted a resolution of disapproval. HF147—Paymar (DFL) HF159—Smith (R) Local Government & Metropolitan Affairs Governmental Operations & HF172—Lenczewski (DFL) St. Paul authorized to amortize billboards. Veterans Affairs Policy Taxes Fiscal notes required for all bills introduced in the Local government aid city aid base reduced as aid HF148—Greiling (DFL) legislature. appropriations increase. Governmental Operations & Veterans Affairs Policy HF160—Abeler (R) HF173—Dorn (DFL) Conflict of interest based on campaign contribu- Education Finance Higher Education Finance tions defined, and penalty imposed. Staff development activities portion of a district’s Minnesota State University, Mankato, athletic fa- basic general education revenue reduced. cilities project phase 3 funding provided, bonds HF149—Paymar (DFL) issued, and money appropriated. Governmental Operations & HF161—Jacobson (R) Veterans Affairs Policy Transportation Finance HF174—Lipman (R) Public disclosure of campaign finances increased, Ramsey County; Edgerton Street bridge over I-694 Civil Law disclosure of economic interests of independent reconstruction funding provided, bonds issued, Actions against health care providers and employ- contractors and consultants required, total costs of and money appropriated. ees regulated, and recovery for non-economic dam- lobbying disclosed, and reports required. ages limited. HF162—Seifert (R) HF150—Fuller (R) Health & Human Services Policy HF175—Davids (R) Taxes Health commissioner required to obtain legislative Ways & Means Bemidji sales and use tax authorized and funds approval for specified rules adoption. Caledonia public safety officer health insurance ben- dedicated to parks and trails. efits reimbursed by the Department of Public Safety. HF163—Kielkucki (R) HF151—Seifert (R) Governmental Operations & HF176—Davids (R) Health & Human Services Policy Veterans Affairs Policy Jobs & Economic Development Finance Children eligible for adoption assistance exempted English designated as the official language of the Rushford Institute for Nanotechnology grant pro- from the prepaid medical assistance program. state of Minnesota. vided, and money appropriated.

HF152—Greiling (DFL) HF164—Haas (R) HF177—Davids (R) Governmental Operations & Health & Human Services Policy Commerce, Jobs & Economic Development Veterans Affairs Policy Patient consent required to collect health data, and Ambulance service liability insurance study required. Campaign contribution and spending limits im- adoption of certain proposed rules prohibited. posed on caucuses participating in the political HF178—Jaros (DFL) contribution refund program, multi-candidate HF165—Otremba (DFL) Taxes expenditures limited, and maximum political con- Health & Human Services Policy Property tax valuation exclusion made permanent tribution refund increased. Abortion standard for the state constitution de- for certain improvements. fined as identical to that of the United States Con- HF153—Juhnke (DFL) stitution by proposed constitutional amendment. HF179—Jaros (DFL) Transportation Policy Governmental Operations & Metropolitan transit authority established, certain HF166—Thissen (DFL) Veterans Affairs Policy Metropolitan Council and transportation duties Civil Law Lawful gambling lawful purpose expenditures transferred, and sales and use tax imposed on mem- Uniform guardianship and protective proceedings modified. ber counties. act adopted. HF180—Hilstrom (DFL) HF154—Howes (R) HF167—Smith (R) Commerce, Jobs & Economic Development Environment & Natural Resources Policy Local Government & Metropolitan Affairs Notice required prior to cancellation of Recreational vehicle and watercraft license and Local authority regulation and causes of action homeowner’s insurance for nonpayment of pre- filing fees increased. against the firearms industry limited. mium by mortgage escrow servicer.

HF155—Kohls (R) HF168—Sykora (R) HF181—Lenczewski (DFL) Commerce, Jobs & Economic Development Education Policy Ways & Means Uniform commercial code revisions enacted. Nonpublic school student data collected by public Analysis of budget’s effect on the state’s bond rat- schools classified and data access specified. ing required. HF156—Anderson, I. (DFL) State Government Finance HF169—Lipman (R) HF182—Carlson (DFL) World War II veterans memorial on the capitol Civil Law Education Policy grounds funding authorized, bonds issued, and Animal care and memorial fund trusts provided. Levy authority exception authorized for new con- money appropriated. struction based on emergency closing of an operat- ing school building.

20 January 24, 2003 OMMITTEE SCHEDULE J ANUARY 27 - 31, 2003 C ★ ★ ★

12:30 PM Schedule is subject to change. TUESDAY, January 28 For information updates, call House Calls Transportation Policy 8:15 AM at (651) 296-9283. Room: 200 State Office Building All meetings are open to the public. Environment and Natural Resources Chair: Rep. Ron Erhardt Sign language interpreter services: Finance Agenda: MnDOT Office of Transit. (651) 224-6548 v/tty. Room: 5 State Office Building Metropolitan Council Metro Mobility. To have the House committee schedule Chair: Rep. Dennis Ozment Metropolitan Council Transit: delivered to your e-mail address, direct Agenda: To be announced. Overview of Transit Restructuring; your Web browser to Sector 5 Study presentation. http://ww3.house.leg.state.mn.us/ Health and Human Services Finance list/join.asp?listname=houseschedule Room: 10 State Office Building Governmental Operations and Veterans and fill out the subscription form on the Chair: Rep. Fran Bradley Affairs Policy Legislature’s Web site. Agenda: To be announced. Room: Basement Hearing Room House committee schedules are also Chair: Rep. Jim Rhodes available on the Web site at Transportation Finance Agenda: Minnesota Lottery overview. http://ww3.house.leg.state.mn.us/ Room: 500S State Office Building comm/scheduleall.asp Chair: Rep. William Kuisle Agriculture and Rural Development Agenda: Report on funding street construction Finance and maintenance in Minnesota’s cities. Room: 5 State Office Building MONDAY, January 27 Overview of transit. Chair: Rep. Elaine Harder Agenda: To be announced. 8:30 AM Education Policy Regent Candidate Advisory Council Room: 200 State Office Building 1:00 PM Chair: Rep. Barb Sykora Room: 400N State Office Building Legislative Audit Commission Agenda: To be determined. Chair: Rondi Erickson Room: 316 State Capitol Agenda: Discuss selection criteria for regents. 8:45 AM Chair: Sen. Ann H. Rest Interview arrangements. Agenda: Review of program evaluation report Other. Regent Candidate Advisory Council on the Metropolitan Airports Interviews. Room: 400N State Office Building Commission. Chair: Rondi Erickson 12:30 PM Agenda: Interview arrangements. 2:30 PM Higher Education Finance Other. Interviews. Room: 300S State Office Building Local Government and Metropolitan Affairs Chair: Rep. Doug Stang 10:15 AM Meeting Time Note: or 15 minutes after possible Agenda: Higher Education Services Office House Floor Session. (HESO) overview. Environment and Natural Resources Policy Room: 200 State Office Building Witness: Robert Poch, Director, HESO. Room: 5 State Office Building Chair: Rep. Jerry Dempsey Chair: Rep. Tom Hackbarth Agenda: Review of Legislative Auditor’s Governmental Operations and Veterans Agenda: Continuation of DNR presentation and evaluation of the Metropolitan Airports Affairs Policy overview. Commission. Room: Basement Hearing Room Chair: Rep. Jim Rhodes Education Finance Civil Law Agenda: HF60 (Lipman) Absentee ballot Room: 10 State Office Building Room: 10 State Office Building provisions modified. Chair: Rep. Alice Seagren Chair: Rep. Steve Smith Department of Military Affairs overview. Agenda: District cooperative purchasing. Agenda: Overview; Joint and Several Liability provided by Prof. Wil Fluegel, William Health and Human Services Policy Judiciary Policy and Finance Mitchell College of Law, and Brent Reichert, Room: 10 State Office Building Room: Basement Hearing Room, State Office attorney in private practice. Chair: Rep. Lynda Boudreau Building Chair: Rep. Rich Stanek Agenda: Review of Proposal by Minnesota State Government Finance Agenda: HF1 (Stanek) Anti-terrorism; driver’s Department of Health to impose new Room: 500N State Office Building immunization rules. license information regulation provided including proof of identity and residency, and Chair: Rep. Bill Haas Agenda: No meeting scheduled for today. 3 :00 PM federal laws and regulations adopted. THE HOUSE MEETS IN SESSION.

Session Weekly 21 Regulated Industries Judiciary Policy and Finance Local Government and Metropolitan Affairs Room: 5 State Office Building Room: Basement Hearing Room Room: 200 State Office Building Chair: Rep. Torrey Westrom Chair: Rep. Rich Stanek Chair: Rep. Jerry Dempsey Agenda: Overview of energy issues by the Agenda: To be announced. Agenda: To be announced. Environmental Quality Board (not heard at Jan. 22 meeting). 12:30 PM Overview of liquor issues by House Research Governmental Operations and Veterans THURSDAY, January 30 and the Department of Public Safety, Division of Affairs Policy Alcohol and Gambling Enforcement. Room: Basement Hearing Room 8:00 AM Chair: Rep. Jim Rhodes Education Policy Agenda: HF106 (Wilkin) Litigation and WEDNESDAY, January 29 Room: Sheridan Midway settlement proceeds deposited in the general Chair: Rep. Barb Sykora fund. 7:45 AM Agenda: No meeting. Members are required to HF40 (Lipman) Judicial appointment by attend the AMSD meeting at the Sheridan Regent Candidate Advisory Council governor provided, and constitutional Midway Hotel from 8:00 AM to 12:00 PM. Room: 400N State Office Building amendment provided. Chair: Rondi Erickson 8:15 AM Higher Education Finance Agenda: Interview arrangements. Interviews. Room: 300S State Office Building Environment and Natural Resources Review of voting procedures. Chair: Rep. Doug Stang Finance Reference check reports (executive session). Agenda: University of Minnesota overview. Room: 5 State Office Building Voting. Witness: Robert Bruininks, President, Chair: Rep. Dennis Ozment Date for next meeting. University of Minnesota. Agenda: To be announced. Other. Agriculture Policy Health and Human Services Finance 8:15 AM Room: 5 State Office Building Room: 10 State Office Building Chair: Rep. Howard Swenson Chair: Rep. Fran Bradley Health and Human Services Policy Agenda: HF94 (Seifert) Circus prohibition Agenda: To be announced. Room: 10 State Office Building around state fair time repealed. Chair: Rep. Lynda Boudreau Are the new feedlot rules working? 10:15 AM Agenda: Legislative Auditor’s Report on Introduce the new commissioner of the MinnesotaCare. Minnesota Pollution Control Agency, Sheryl Education Finance Report on Bioterrorism Preparation by the Corrigan. Room: 10 State Office Building Minnesota Department of Health. Representatives of the Minnesota Pollution Chair: Rep. Alice Seagren Control Agency. Agenda: No regular meeting today. Committee Jobs and Economic Development Finance Representatives of the Minnesota Milk Producers Members to attend AMSD Alternative Room: Basement Hearing Room Association. Compensation Conference. Chair: Rep. Bob Gunther Representatives of the Minnesota Pork Agenda: Budget overviews of Minnesota Producers Association. Environment and Natural Resources Policy Technology Inc. and Minnesota Project Room: 5 State Office Building Innovation. 2:30 PM Chair: Rep. Tom Hackbarth Agenda: To be announced. Environment and Natural Resources Regulated Industries Judiciary Policy and Finance Finance Room: 5 State Office Building Room: Basement Hearing Room Room: 5 State Office Building Chair: Rep. Torrey Westrom Agenda: Overview of telecomunication issues to Chair: Rep. Rich Stanek Chair: Rep. Dennis Ozment Agenda: To be announced. Agenda: To be announced. small and rural telecom providers. Presentation by Minnesota Association for Rural Taxes Telecommunications. Joint Transportation Finance and Room: 200 State Office Building Transportation Policy Chair: Rep. Ron Abrams State Government Finance Room: 200 State Office Building Agenda: To be announced. Chairs: Rep. William Kuisle, Rep. Ron Erhardt Room: 500N State Office Building Chair: Rep. Bill Haas Agenda: To be announced. 12:30 PM Note: Transportation Policy will not meet in Agenda: Overviews: 12:30 p.m. time slot. Gambling Control Board; Agriculture and Rural Development Minnesota State Lottery; and Finance Minnesota Racing Commission. Room: 5 State Office Building 10:15 AM Chair: Rep. Elaine Harder Civil Law Agenda: To be announced. Education Finance Room: 10 State Office Building Room: 10 State Office Building Chair: Rep. Steve Smith Chair: Rep. Alice Seagren Agenda: HF75 (Johnson, J.) Joint and several Agenda: Academic and financial performance liability apportionment regulated. evaluation.

22 January 24, 2003 Ways and Means Room: 200 State Office Building Chair: Rep. Jim Knoblach Agenda: To be announced.

Commerce, Jobs, and Economic Development The State Capitol has a long and rich his- design is Italian Renaissance with some mi- Room: 10 State Office Building tory. Everything it is today is a result of years nor European trimmings. Gilbert’s plan Chair: Rep. Greg Davids of planning and long-range vision that the was to create a structure that Minnesotans Agenda: HFXXXX (Hilstrom) Relating to people of the state should be proud of. would be proud of, as well as to improve homeowner’s insurance A first Capitol was built in 1853 but the state’s image across the country. This Other bills to be announced. burned down during the 1881 legislative Gilbert accomplished by fighting to make session. A second Capitol building was com- his vision a reality, oftentimes at the risk pleted two years later, although it was soon of having to disagree with the building FRIDAY, January 31 found to have cramped quarters with little commissioners’ decisions. storage space and very poor ventilation. Gilbert also convinced the commission- Many legislators became ill because of the ers to spend more than the $2 million ini- No meetings scheduled. air quality leading the tially allocated for the State Board of Health to site and building. By the declare it “utterly unfit for time the work was com- human beings to breathe.” pleted in and around the Minnesota State Agencies In 1893, legislators Capitol the price tag was (Area code 651) passed a bill authorizing $4.5 million. the governor to appoint Gilbert and his design- Administration ...... 296-6013 Agriculture ...... 297-2200 seven planning commis- ers spared very little. sioners to review architec- They commissioned Toll Free ...... 1-800-967-2474 The first Capitol, at Tenth and Children, Families and Learning . 582-8200 tural plans for building a Wabasha, in St. Paul, in 1875. well-known artisans and Commerce ...... 296-4026 new Capitol. St. Paul ar- artists to construct and Corrections ...... 642-0200 chitect Cass Gilbert’s com- decorate the building. Economic Security ...... 296-3711 Toll Free ...... 1-888-GET-JOBS petition drawings were They even chose out-of- Employee Relations ...... 297-1184 chosen for a site to be built state building materials Job Information Hotline ...... 296-2616 four blocks up the hill that almost caused a Finance ...... 296-5900 from the old Capitol. local controversy. Health ...... 215-5800 Within walking dis- Despite all the stone Human Rights ...... 296-5663 Toll Free ...... 1-800-657-3704 tance of the old state- quarries found in the Human Services ...... 297-3933 house, the site squelched state, Gilbert decided Labor and Industry ...... 284-5000 any agitation by some fac- that an elegant white Toll Free ...... 1-800-342-5354 tions to move the Capitol The second Capitol, in 1898. Georgia marble should Military Affairs ...... 282-4662 building to the Midway be chosen to adorn the Natural Resources ...... 296-6157 Toll Free ...... 1-888-MINNDNR area of St. Paul, to Minne- outer portion of the Pollution Control Agency ...... 296-6300 apolis, or even to building because of its Toll Free ...... 1-800-657-3864 Kandiyohi County in the beauty and endurance. Public Safety ...... 282-6565 western part of the state. He did use Minnesota Driver and Vehicle Services ..... 296-6911 The general design for a stone by placing it on in- Fire Marshal ...... 215-0500 Alcohol and Gambling state seat of government terior walls and areas in Enforcement Division ...... 296-6979 was strongly influenced by the building. State Patrol ...... 282-6871 public sentiment to repli- By the time the Capitol Revenue cate the U.S. Capitol in was completed in 1905 it Taxpayer Assistance ...... 296-3781 Washington D.C. on a The present Capitol, in 1905. had already attained a Trade and Economic Development .... 297- 1291 prominent piece of land. reputation for being one Toll Free ...... 1-800-657-3858 Thus it is not too surprising that all the ar- of the most impressive statehouses in the Office of Tourism ...... 296-5029 chitects who submitted designs suggested a country. It also completed Gilbert’s vision Toll Free ...... 1-800-657-3700 domed statehouse. Today, 32 statehouses for the edifice: a stately seat of government Transportation ...... 296-3000 across the country are domed, two dozen that is useful, impressive, dignified, and Toll Free ...... 1-800-657-3774 Veterans Affairs ...... 296-2562 in the classic style of the Minnesota State beautiful. Capitol. —LECLAIR GRIER LAMBERT The classic style utilized in Gilbert’s Photos courtesy of the Minnesota Historical Society

Session Weekly 23 MINNESOTA HOUSE OF REPRESENTATIVES PUBLIC INFORMATION OFFICE 175 STATE OFFICE BUILDING ST. PAUL, MINNESOTA 55155-1298

SPEAKER OF THE HOUSE: STEVE SVIGGUM MAJORITY LEADER: ERIK PAULSEN MINORITY LEADER: MATT ENTENZA

INNESOTA M INDEX FOR MORE INFORMATION For general information, call: Charitable gambling and lotteries House Information Office Charitable gambling gross receipts, fiscal year 2002, in billions...... $1.435 (651) 296-2146 or Prizes paid, 2002, in billions ...... $1.176 1-800-657-3550 Percentage of receipts paid out in prizes, 2002, ...... 82 To obtain a copy of a bill, call: Gross receipts, 2000 (highest in past 10 years), in billions ...... $1.5 Chief Clerk’s Office Pull-tab income (largest category), 2002, in billions ...... $1.33 (651) 296-2314 Net receipts to charitable organizations, 2002, in millions ...... $259 Charitable organizations licensed for lawful gambling ...... 1,503 To find out about bill introductions or Fraternal groups ...... 228 the status of a specific bill, call: Other general nonprofit groups (athletic and sportsmen groups) ...... 925 House Index Office Bingo halls licensed ...... 12 (651) 296-6646 Total fees, penalties, and taxes collected by the state in 2002, in millions ...... $57.6 License and permit fees, in millions ...... $1.18 For an up-to-date recorded message giving committee meeting times and Civil penalties and fines ...... $44,850 agendas, call: Taxes only, in millions ...... $56.4 Committee Hotline Taxes collected in 1998 (10-year high), in millions ...... $63 (651) 296-9283 County with highest net charitable gambling receipts in the Twin Cities metropolitan area, 2002, in millions (Hennepin) ...... $35.8 The House of Representatives can be County in Greater Minnesota, 2002, in millions (Stearns) ...... $11.3 reached on the World Wide Web at: County with highest percentage gain from 2001 to 2002 (Itasca) ...... 173.5 http://www.house.mn County with highest percentage loss from 2001 to 2002 (Yellow Medicine) ...... 42.7 Minnesota’s national ranking for charitable gambling revenues, 2000 ...... 1 Teletypewriter for the hearing Minnesota’s ranking among North American states and provinces with impaired. authorized charitable gambling (28 total) for licensing fees and taxes collected ...... 3 To ask questions or leave messages, call: Ranking for percentage of gross receipts granted to prizes ...... 3 TTY Line (651) 296-9896 or Ranking for percentage of gross receipts paid to charities ...... 27 1-800-657-3550 Minnesota charitable gambling wagers per capita, 2000...... $308 State with highest wagers per capita (North Dakota) ...... $402 Check your local listings to watch Minnesota State Lottery proceeds to the state, fiscal year 2002, in millions ...... $378.6 House committee and floor sessions on TV. Money to the general fund, in millions ...... $36 Senate Information Prize money, in millions ...... $223 (651) 296-0504 Money to the environment and natural resources trust fund, in millions ...... $21.8 1-888-234-1112 To the natural resources fund, in millions ...... $10.7 To the game and fish fund, in millions ...... $10.7 Senate Index (651) 296-5560 Sources: Annual Report of the Minnesota Gambling Control Board, January 2003; Fiscal Year 2002 This document can be made available in alternative Financials, Minnesota State Lottery; Charity Gaming in North America, National Association of formats to individuals with disabilities by calling Fundraising Manufacturers, September 2001. (651) 296-2146 voice, (651) 296-9896 TTY, or (800) 657-3550 toll free voice and TTY.

24 January 24, 2003