1.2relating to women's economic security; promoting the economic self-sufficiency
1.3of women; reducing gender segregation in the workforce; reducing the gender
1.4pay gap through the participation of women in high-wage, high-demand,
1.5nontraditional occupations; establishing a Women and Nontraditional Jobs Grant
1.6Program; modifying eligibility for unemployment benefits when applicant is a
1.7victim of sexual assault or stalking; creating a women entrepreneurs business
1.8development competitive grant program; modifying medical assistance asset
1.9availability requirements; providing for pregnancy and parenting leave; requiring
1.10pregnancy accommodations; providing for earned sick and safe time; requiring
1.11certificates of pay equity compliance as a condition for certain state contracts;
1.12classifying data; protecting wage disclosure; prohibiting retaliation; prohibiting
1.13discrimination in employment based on status as a family caregiver; clarifying
1.14unfair employment practices related to nursing mothers; forecasting the basic
1.15sliding fee child care assistance program; modifying child care assistance
1.16provider reimbursement rates; early learning; expanding the availability of early
1.17learning scholarships; requiring a report; authorizing rulemaking; appropriating
1.18money;amending Minnesota Statutes 2012, sections 13.552, by adding a
1.19subdivision; 116L.98; 119B.02, subdivisions 1, 2; 119B.03, subdivision 9;
1.20119B.035, subdivisions 1, 4; 119B.05, subdivision 5; 119B.08, subdivision
1.213; 119B.09, subdivision 4a; 119B.231, subdivision 5; 177.24, subdivision 1;
1.22181.939; 181.940, subdivision 2; 181.941; 181.943; 256.017, subdivision 9;
1.23256B.059, subdivision 5; 268.095, subdivisions 1, 6, by adding a subdivision;
1.24363A.03, by adding a subdivision; 363A.08, subdivisions 1, 2, 3, 4, by adding
1.25a subdivision; 504B.001, by adding subdivisions; 504B.171, subdivision 1;
1.26504B.206, subdivisions 1, 3, by adding a subdivision; 504B.285, subdivision
1.271; Minnesota Statutes 2013 Supplement, sections 116L.665, subdivision 2;
1.28119B.011, subdivision 19b; 119B.05, subdivision 1; 119B.13, subdivision 1;
1.29124D.165, subdivision 3; proposing coding for new law in Minnesota Statutes,
1.30chapters 16A; 16C; 116L; 181; 363A; repealing Minnesota Statutes 2012,
1.31sections 119B.011, subdivision 20a; 119B.03, subdivisions 1, 2, 5, 6, 6a, 6b, 8;
1.32119B.09, subdivision 3; 504B.206, subdivisions 4, 6; Minnesota Statutes 2013
1.33Supplement, sections 119B.03, subdivision 4; 181.9413; Minnesota Rules, parts
1.343400.0020, subpart 8; 3400.0030; 3400.0060, subparts 2, 4, 6, 6a, 7.
1.35BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:


2.3    Section 1. CITATION; WOMEN'S ECONOMIC SECURITY ACT.
2.4This act shall be known as the Women's Economic Security Act.


2.7    Section 1. Minnesota Statutes 2012, section 13.552, is amended by adding a
2.8subdivision to read:
2.9    Subd. 7. Certificates of compliance. Access to data relating to certificates of pay
2.10equity compliance is governed by sections 16C.37 and 363A.44.

2.11    Sec. 2. [16A.066] MINNESOTA SECURE CHOICE RETIREMENT SAVINGS
2.12BOARD.
2.13    Subdivision 1. Establishment. There is established the Minnesota Secure Choice
2.14Retirement Savings Board to study and develop recommendations for the creation of a
2.15Minnesota Secure Choice Retirement Savings Plan with the goals of:
2.16(1) promoting greater retirement income for private employees;
2.17(2) maximizing participation by private employees who have no access to retirement
2.18savings through their place of work by minimizing barriers to participation;
2.19(3) minimizing fees;
2.20(4) portability across private employers; and
2.21(5) providing for stable income throughout retirement without incurring state
2.22liability for the payment of benefits.
2.23    Subd. 2. Membership. (a) The board shall have nine members and shall be
2.24composed of the commissioner of management and budget or a designee, who shall serve
2.25as chair, and the following members:
2.26(1) four members appointed by the governor;
2.27(2) two members appointed by the speaker of the house who are not members of
2.28the legislature; and
2.29(3) two members appointed by the majority leader of the senate who are not
2.30members of the legislature.
2.31(b) Of the four members appointed under paragraph (a), clause (1):
2.32(1) one must have retirement savings or investment expertise;
3.1(2) one must represent an employer with between five and 50 employees; and
3.2(3) one must be an employee without access to an employer-sponsored retirement
3.3savings plan.
3.4    Subd. 3. Appointments; membership terms. (a) Section 15.0597 shall apply to all
3.5appointments and filling of vacancies, except for the commissioner.
3.6(b) Membership terms, compensation, and removal of members are as provided
3.7in section 15.0575.
3.8(c) Initial appointments to the board must be made by July 1, 2014.
3.9(d) Initial terms are as follows:
3.10(1) for members appointed under paragraph (a), clause (1), the governor shall
3.11designate two to an initial term of two years and two to an initial term of four years;
3.12(2) for members appointed under paragraph (a), clause (2), the speaker of the house
3.13shall designate one to an initial term of one year and two to an initial term of three years; and
3.14(3) for members appointed under paragraph (a), clause (3), the majority leader of
3.15the senate shall designate one to an initial term of one year and two to an initial term
3.16of three years.
3.17    Subd. 4. Report. The board must report the following no later than December
3.181, 2014, to the Senate Committee on State and Local Government and the House of
3.19Representatives Committee on Government Operations:
3.20(1) estimates of the average amount of savings and other financial resources
3.21residents of Minnesota have upon retirement;
3.22(2) estimates of the average amount of savings and other financial resources that are
3.23recommended for a financially secure retirement in Minnesota;
3.24(3) estimates of the relative progress toward achieving the savings recommended for
3.25a financially secure retirement by gender, race, and ethnicity;
3.26(4) the number of employees in Minnesota without access to an automatic enrollment
3.27payroll deduction Individual Retirement Account (IRA) maintained or offered by the
3.28employee's employer, or a multiemployer retirement plan or qualifying retirement plan
3.29or arrangement described in sections 414(f) and 219(g)(5), respectively, of the Internal
3.30Revenue Code of 1986, as amended through April 14, 2011;
3.31(5) the estimated impact on publicly funded social safety net programs attributable
3.32to insufficient retirement savings;
3.33(6) options for structuring contributions to the Minnesota Secure Choice Retirement
3.34Savings Plan that achieve the goals in subdivision 1, including a contribution mechanism
3.35and applicability and portability under the Internal Revenue Code of 1986, as amended
3.36through April 14, 2011;
4.1(7) options for ensuring that benefits provide for stable income throughout
4.2beneficiaries' retirement years;
4.3(8) projected fees relative to asset size and plan structure, to recover the costs of
4.4administration, record keeping, and investment management, consistent with efficient
4.5administration and high-quality investment management, so as to maximize the returns
4.6on plan investments;
4.7(9) the cost to participating employers relative to plan structure;
4.8(10) the aggregate economic effect of plan options within the state;
4.9(11) the conditions by which the Minnesota Secure Choice Retirement Savings Plan,
4.10or a separate plan, could accept contributions from employers under the federal Employee
4.11Retirement Income Security Act, either into a multiemployer defined benefit plan under
4.12sections 413(c) and 414(j) of the Internal Revenue Code of 1986, as amended through
4.13April 14, 2011, or as a profit-sharing plan under section 401(a) of the Internal Revenue
4.14Code of 1986, as amended through April 14, 2011, including the extent to which assets
4.15might be invested in the same manner, with the same managers and asset allocations, as
4.16the assets of the Minnesota Secure Choice Retirement Savings Plan, and to which an
4.17individual's benefits might be combined with their benefits from the Minnesota Secure
4.18Choice Retirement Savings Plan upon retirement; and
4.19(12) recommendations on:
4.20(i) changes to state law to create a Minnesota Secure Choice Retirement Savings Plan
4.21that meets all of the requirements to qualify for the favorable federal income tax treatment
4.22ordinarily accorded to IRAs under section 408(a) or 408(b) of the Internal Revenue Code
4.23of 1986, as amended through April 14, 2011, and that must not be determined to be an
4.24employee benefit plan under the federal Employee Retirement Income Security Act;
4.25(ii) a process for the enrollment of plan participants that minimizes barriers to
4.26participation and maximizes participation by private employees who have no access to
4.27retirement savings through their place of work;
4.28(iii) the process by which an employer may forward contributions and related
4.29information to the Minnesota Secure Choice Retirement Savings Plan or its agents; and
4.30(iv) investment policies that offer employees returns on contributions and the
4.31conversion of individual account balances within the Minnesota Secure Choice Retirement
4.32Savings Plan to provide for stable and secure retirement income, or annuitization, without
4.33incurring debt or liabilities to the state.
4.34EFFECTIVE DATE.This section is effective the day following final enactment.

4.35    Sec. 3. [16C.37] CERTIFICATE OF PAY EQUITY COMPLIANCE.
5.1(a) For a contract for goods or services in excess of $500,000, a state department or
5.2agency may not accept a bid or proposal from a business having more than 40 full-time
5.3employees within the state on a single working day during the previous 12 months unless
5.4the commissioner of human rights, under the process established in section 363A.44,
5.5has approved the business's plan to establish equitable compensation relationships for
5.6its employees within the state and has issued the business a certificate of pay equity
5.7compliance. As used in this section, "equitable compensation relationship" has the
5.8meaning given in section 471.991.
5.9(b) This section does not apply to construction projects governed by sections 177.43
5.10and 177.44.

5.11    Sec. 4. Minnesota Statutes 2013 Supplement, section 116L.665, subdivision 2, is
5.12amended to read:
5.13    Subd. 2. Membership. The governor's Workforce Development Council is
5.14composed of 31 members appointed by the governor. The members may be removed
5.15pursuant to section 15.059. In selecting the representatives of the council, the governor
5.16shall ensure that 50 percent of the members come from nominations provided by local
5.17workforce councils. Local education representatives shall come from nominations
5.18provided by local education to employment partnerships. The 31 members shall represent
5.19the following sectors:
5.20(a) State agencies: the following individuals shall serve on the council:
5.21(1) commissioner of the Minnesota Department of Employment and Economic
5.22Development;
5.23(2) commissioner of the Minnesota Department of Education; and
5.24(3) commissioner of the Minnesota Department of Human Services.
5.25(b) Business and industry: six individuals shall represent the business and industry
5.26sectors of Minnesota.
5.27(c) Organized labor: six individuals shall represent labor organizations of Minnesota.
5.28(d) Community-based organizations: four individuals shall represent
5.29community-based organizations of Minnesota. Community-based organizations are
5.30defined by the Workforce Investment Act as private nonprofit organizations that are
5.31representative of communities or significant segments of communities and that have
5.32demonstrated expertise and effectiveness in the field of workforce investment and may
5.33include entities that provide job training services, serve youth, serve individuals with
5.34disabilities, serve displaced homemakers, union-related organizations, employer-related
6.1nonprofit organizations, and organizations serving nonreservation Indians and tribal
6.2governments.
6.3(e) Education: six individuals shall represent the education sector of Minnesota
6.4as follows:
6.5(1) one individual shall represent local public secondary education;
6.6(2) one individual shall have expertise in design and implementation of school-based
6.7service-learning;
6.8(3) one individual shall represent leadership of the University of Minnesota;
6.9(4) one individual shall represent secondary/postsecondary vocational institutions;
6.10(5) the chancellor of the Board of Trustees of the Minnesota State Colleges and
6.11Universities; and
6.12(6) one individual shall have expertise in agricultural education.
6.13(f) Other: two individuals shall represent other constituencies including:
6.14(1) units of local government; and
6.15(2) applicable state or local programs.
6.16The speaker and the minority leader of the house of representatives shall each
6.17appoint a representative to serve as an ex officio member of the council. The majority
6.18and minority leaders of the senate shall each appoint a senator to serve as an ex officio
6.19member of the council.
6.20The governor shall appoint one individual representing public libraries, one
6.21individual with expertise in assisting women in obtaining employment in nontraditional
6.22occupations, and one individual representing adult basic education programs to serve as a
6.23 nonvoting advisor advisors to the council.
6.24(g) Appointment: each member shall be appointed for a term of three years from the
6.25first day of January or July immediately following their appointment. Elected officials
6.26shall forfeit their appointment if they cease to serve in elected office.
6.27(h) Members of the council are compensated as provided in section 15.059,
6.28subdivision 3 .

6.29    Sec. 5. Minnesota Statutes 2012, section 116L.98, is amended to read:
6.30116L.98 WORKFORCE PROGRAM OUTCOMES.
6.31The commissioner shall develop and implement a set of standard approaches
6.32for assessing the outcomes of workforce programs under this chapter. The outcomes
6.33assessed must include, but are not limited to, periodic comparisons of workforce program
6.34participants and nonparticipants. By January 1 of each year, the commissioner shall
6.35report to the legislature on progress and outcomes of workforce programs, including the
7.1requirements under section 116L.99. The report regarding outcomes of activities under
7.2section 116L.99 must include data on:
7.3(1) the gender, race, and age of participants, including cross tabulations;
7.4(2) occupations;
7.5(3) geography;
7.6(4) advancement salaries; and
7.7(5) the gender pay gap within occupations.
7.8The commissioner shall also monitor the activities and outcomes of programs and
7.9services funded by legislative appropriations and administered by the department on a
7.10pass-through basis and develop a consistent and equitable method of assessing recipients
7.11for the costs of its monitoring activities.

7.12    Sec. 6. [116L.99] WOMEN AND NONTRADITIONAL JOBS GRANT
7.13PROGRAM.
7.14    Subdivision 1. Definitions. (a) For the purpose of this section, the following terms
7.15have the meanings given.
7.16(b) "Commissioner" means the commissioner of employment and economic
7.17development.
7.18(c) ''Eligible organization'' includes, but is not limited to:
7.19(1) community-based organizations experienced in serving women;
7.20(2) employers;
7.21(3) business and trade associations;
7.22(4) labor unions and employee organizations;
7.23(5) registered apprenticeship programs;
7.24(6) secondary and postsecondary education institutions located in Minnesota; and
7.25(7) workforce and economic development agencies.
7.26(d) "Nontraditional occupations'' means those occupations in which women make
7.27up less than 25 percent of the workforce as defined under United States Code, title 20,
7.28section 2302.
7.29(e) "Registered apprenticeship program'' means a program registered under United
7.30States Code, title 29, section 50.
7.31    Subd. 2. Grant program. The commissioner shall establish the women and
7.32nontraditional jobs grant program to increase the number of women in high-wage,
7.33nontraditional occupations. The commissioner shall make grants to eligible organizations
7.34for programs that encourage and assist women to enter high-wage, high-demand,
8.1nontraditional occupations including but not limited to those in the skilled trades, science,
8.2technology, engineering, and math (STEM) occupations.
8.3    Subd. 3. Use of funds. (a) Grant funds awarded under this section may be used for:
8.4(1) recruitment, preparation, placement, and retention of women, including
8.5low-income women and women over 50 years old, in registered apprenticeships,
8.6postsecondary education programs, on-the-job training, and permanent employment in
8.7high-wage, high-demand, nontraditional occupations;
8.8(2) secondary or postsecondary education or other training to prepare women to
8.9succeed in nontraditional occupations. Activities under this clause may be conducted by
8.10the grantee or in collaboration with another institution, including but not limited to a
8.11public or private secondary or postsecondary school;
8.12(3) innovative, hands-on, best practices that stimulate interest in nontraditional
8.13occupations among girls, increase awareness among girls about opportunities in
8.14nontraditional occupations, or increase access to secondary programming leading to jobs
8.15in nontraditional occupations. Best practices include but are not limited to mentoring,
8.16internships, or apprenticeships for girls in nontraditional occupations;
8.17(4) training and other staff development for job seeker counselors and Minnesota
8.18family investment program (MFIP) caseworkers on opportunities in nontraditional
8.19occupations;
8.20(5) incentives for employers and sponsors of registered apprenticeship programs to
8.21retain women in nontraditional occupations for more than one year;
8.22(6) training and technical assistance for employers to create a safe and healthy
8.23workplace environment designed to retain and advance women, including best practices
8.24for addressing sexual harassment, and to overcome gender inequity among employers
8.25and registered apprenticeship programs;
8.26(7) public education and outreach activities to overcome stereotypes about women
8.27in nontraditional occupations, including the development of educational and marketing
8.28materials; and
8.29(8) support for women in nontraditional occupations including but not limited to
8.30assistance with workplace issues resolution and access to advocacy assistance and services.
8.31(b) Grant applications must include detailed information about how the applicant
8.32plans to:
8.33(1) increase women's participation in high-wage, high-demand occupations in which
8.34women are currently underrepresented in the workforce;
8.35(2) comply with the requirements under subdivision 3; and
8.36(3) use grant funds in conjunction with funding from other public or private sources.
9.1(c) In awarding grants under this subdivision, the commissioner shall give priority
9.2to eligible organizations:
9.3(1) with demonstrated success in recruiting and preparing women, especially
9.4low-income women and women over 50 years old, for nontraditional occupations; and
9.5(2) that leverage additional public and private resources.
9.6(d) At least 50 percent of total grant funds must be awarded to programs providing
9.7services and activities targeted to women with family incomes of less than 200 percent
9.8of the federal poverty guidelines.
9.9(e) The commissioner of employment and economic development in conjunction
9.10with the commissioner of labor and industry shall monitor the use of funds under this
9.11section, collect and compile information on the activities of other state agencies and public
9.12or private entities that have purposes similar to those under this section, and identify other
9.13public and private funding available for these purposes.

9.14    Sec. 7. Minnesota Statutes 2012, section 256B.059, subdivision 5, is amended to read:
9.15    Subd. 5. Asset availability. (a) At the time of initial determination of eligibility for
9.16medical assistance benefits following the first continuous period of institutionalization on
9.17or after October 1, 1989, assets considered available to the institutionalized spouse shall
9.18be the total value of all assets in which either spouse has an ownership interest, reduced by
9.19the following amount for the community spouse:
9.20(1) prior to July 1, 1994, the greater of:
9.21(i) $14,148;
9.22(ii) the lesser of the spousal share or $70,740; or
9.23(iii) the amount required by court order to be paid to the community spouse;
9.24(2) for persons whose date of initial determination of eligibility for medical
9.25assistance following their first continuous period of institutionalization occurs on or after
9.26July 1, 1994, the greater of:
9.27(i) $20,000;
9.28(ii) the lesser of the spousal share or $70,740; or
9.29(iii) the amount required by court order to be paid to the community spouse.
9.30The value of assets transferred for the sole benefit of the community spouse under section
9.31256B.0595, subdivision 4 , in combination with other assets available to the community
9.32spouse under this section, cannot exceed the limit for the community spouse asset
9.33allowance determined under subdivision 3 or 4. Assets that exceed this allowance shall be
9.34considered available to the institutionalized spouse whether or not converted to income. If
9.35the community spouse asset allowance has been increased under subdivision 4, then the
10.1assets considered available to the institutionalized spouse under this subdivision shall be
10.2further reduced by the value of additional amounts allowed under subdivision 4.
10.3(b) An institutionalized spouse may be found eligible for medical assistance even
10.4though assets in excess of the allowable amount are found to be available under paragraph
10.5(a) if the assets are owned jointly or individually by the community spouse, and the
10.6institutionalized spouse cannot use those assets to pay for the cost of care without the
10.7consent of the community spouse, and if: (i) the institutionalized spouse assigns to the
10.8commissioner the right to support from the community spouse under section 256B.14,
10.9subdivision 3 ; (ii) the institutionalized spouse lacks the ability to execute an assignment
10.10due to a physical or mental impairment; or (iii) the denial of eligibility would cause an
10.11imminent threat to the institutionalized spouse's health and well-being.
10.12(c) After the month in which the institutionalized spouse is determined eligible for
10.13medical assistance, during the continuous period of institutionalization, no assets of the
10.14community spouse are considered available to the institutionalized spouse, unless the
10.15institutionalized spouse has been found eligible under paragraph (b).
10.16(d) Assets determined to be available to the institutionalized spouse under this
10.17section must be used for the health care or personal needs of the institutionalized spouse.
10.18(e) For purposes of this section, assets do not include assets excluded under the
10.19supplemental security income program.
10.20EFFECTIVE DATE.This section is effective the day following final enactment
10.21and applies to applications for medical assistance initiated or pending on or after that date.

10.22    Sec. 8. Minnesota Statutes 2012, section 268.095, subdivision 1, is amended to read:
10.23    Subdivision 1. Quit. An applicant who quit employment is ineligible for all
10.24unemployment benefits according to subdivision 10 except when:
10.25    (1) the applicant quit the employment because of a good reason caused by the
10.26employer as defined in subdivision 3;
10.27    (2) the applicant quit the employment to accept other covered employment that
10.28provided substantially better terms and conditions of employment, but the applicant did
10.29not work long enough at the second employment to have sufficient subsequent earnings to
10.30satisfy the period of ineligibility that would otherwise be imposed under subdivision 10
10.31for quitting the first employment;
10.32    (3) the applicant quit the employment within 30 calendar days of beginning the
10.33employment because the employment was unsuitable for the applicant;
10.34    (4) the employment was unsuitable for the applicant and the applicant quit to enter
10.35reemployment assistance training;
11.1    (5) the employment was part time and the applicant also had full-time employment
11.2in the base period, from which full-time employment the applicant separated because of
11.3reasons for which the applicant was held not to be ineligible, and the wage credits from
11.4the full-time employment are sufficient to meet the minimum requirements to establish a
11.5benefit account under section 268.07;
11.6    (6) the applicant quit because the employer notified the applicant that the applicant
11.7was going to be laid off because of lack of work within 30 calendar days. An applicant
11.8who quit employment within 30 calendar days of a notified date of layoff because of lack
11.9of work is ineligible for unemployment benefits through the end of the week that includes
11.10the scheduled date of layoff;
11.11    (7) the applicant quit the employment (i) because the applicant's serious illness or
11.12injury made it medically necessary that the applicant quit; or (ii) in order to provide
11.13necessary care because of the illness, injury, or disability of an immediate family member
11.14of the applicant. This exception only applies if the applicant informs the employer of
11.15the medical problem and requests accommodation and no reasonable accommodation
11.16is made available.
11.17    If the applicant's serious illness is chemical dependency, this exception does not
11.18apply if the applicant was previously diagnosed as chemically dependent or had treatment
11.19for chemical dependency, and since that diagnosis or treatment has failed to make
11.20consistent efforts to control the chemical dependency.
11.21    This exception raises an issue of the applicant's being available for suitable
11.22employment under section 268.085, subdivision 1, that the commissioner must determine;
11.23    (8) the applicant's loss of child care for the applicant's minor child caused the
11.24applicant to quit the employment, provided the applicant made reasonable effort to obtain
11.25other child care and requested time off or other accommodation from the employer and no
11.26reasonable accommodation is available.
11.27    This exception raises an issue of the applicant's being available for suitable
11.28employment under section 268.085, subdivision 1, that the commissioner must determine;
11.29    (9) domestic abuse, sexual assault, or stalking of the applicant or an immediate
11.30family member of the applicant, necessitated the applicant's quitting the employment.
11.31Domestic abuse, sexual assault, or stalking must be shown by one or more of the following:
11.32    (i) a district court order for protection or other documentation of equitable relief
11.33issued by a court;
11.34    (ii) a police record documenting the domestic abuse, sexual assault, or stalking;
11.35    (iii) documentation that the perpetrator of the domestic abuse, sexual assault, or
11.36stalking has been convicted of the offense of domestic abuse;
12.1    (iv) medical documentation of domestic abuse, sexual assault, or stalking; or
12.2    (v) written statement that the applicant or an immediate family member of the
12.3applicant is a victim of domestic abuse, sexual assault, or stalking provided by a social
12.4worker, member of the clergy, shelter worker, attorney at law, or other professional who
12.5has assisted the applicant in dealing with the domestic abuse., sexual assault, or stalking; or
12.6    Domestic abuse for purposes of this clause is defined under section 518B.01; or
12.7    (vi) the applicant's sworn statement attesting to the domestic abuse, sexual assault,
12.8or stalking; or
12.9(10) the applicant quit in order to relocate to accompany a spouse whose job location
12.10changed making it impractical for the applicant to commute.

12.11    Sec. 9. Minnesota Statutes 2012, section 268.095, subdivision 6, is amended to read:
12.12    Subd. 6. Employment misconduct defined. (a) Employment misconduct means any
12.13intentional, negligent, or indifferent conduct, on the job or off the job that displays clearly:
12.14(1) a serious violation of the standards of behavior the employer has the right to
12.15reasonably expect of the employee; or
12.16(2) a substantial lack of concern for the employment.
12.17(b) Regardless of paragraph (a), the following is not employment misconduct:
12.18(1) conduct that was a consequence of the applicant's mental illness or impairment;
12.19    (2) conduct that was a consequence of the applicant's inefficiency or inadvertence;
12.20(3) simple unsatisfactory conduct;
12.21(4) conduct an average reasonable employee would have engaged in under the
12.22circumstances;
12.23(5) conduct that was a consequence of the applicant's inability or incapacity;
12.24(6) good faith errors in judgment if judgment was required;
12.25(7) absence because of illness or injury of the applicant, with proper notice to the
12.26employer;
12.27(8) absence, with proper notice to the employer, in order to provide necessary care
12.28because of the illness, injury, or disability of an immediate family member of the applicant;
12.29    (9) conduct that was a consequence of the applicant's chemical dependency, unless
12.30the applicant was previously diagnosed chemically dependent or had treatment for
12.31chemical dependency, and since that diagnosis or treatment has failed to make consistent
12.32efforts to control the chemical dependency; or
12.33    (10) conduct that was a consequence of the applicant, or an immediate family
12.34member of the applicant, being a victim of domestic abuse as defined under section
13.1518B.01, sexual assault, or stalking. Domestic abuse, sexual assault, or stalking must be
13.2shown as provided for in subdivision 1, clause (9).
13.3    (c) Regardless of paragraph (b), clause (9), conduct in violation of sections 169A.20,
13.4169A.31 , or 169A.50 to 169A.53 that interferes with or adversely affects the employment
13.5is employment misconduct.
13.6(d) If the conduct for which the applicant was discharged involved only a single
13.7incident, that is an important fact that must be considered in deciding whether the conduct
13.8rises to the level of employment misconduct under paragraph (a). This paragraph does
13.9not require that a determination under section 268.101 or decision under section 268.105
13.10contain a specific acknowledgment or explanation that this paragraph was considered.
13.11    (e) The definition of employment misconduct provided by this subdivision is
13.12exclusive and no other definition applies.

13.13    Sec. 10. Minnesota Statutes 2012, section 268.095, is amended by adding a subdivision
13.14to read:
13.15    Subd. 13. Definitions. For purposes of this section, the following terms have the
13.16meanings given.
13.17(a) "Domestic abuse" has the meaning given in section 518B.01.
13.18(b) "Sexual assault" means an act that would constitute a violation of sections
13.19609.342 to 609.3453 or 609.352.
13.20(c) "Stalking" means an act that would constitute a violation of section 609.749.

13.21    Sec. 11. [363A.44] CERTIFICATE OF PAY EQUITY COMPLIANCE.
13.22    Subdivision 1. Compliance; good faith effort. (a) The commissioner must approve
13.23a plan and issue a certificate of pay equity compliance under this section to a business
13.24seeking the certification required by section 16C.37 if the business demonstrates that it is
13.25in compliance with equitable compensation relationship standards or is making a good
13.26faith effort to achieve compliance with those standards. As used in this section, certificate
13.27of compliance means a certificate of pay equity compliance. A certificate of compliance is
13.28valid for two years. The standards for determining equitable compensation relationships
13.29for a business under this section are the same as the standards in sections 471.991 to
13.30471.997 and rules adopted under those sections.
13.31    (b) A business that is not in compliance with equitable compensation relationship
13.32standards is making a good faith effort to achieve compliance if the commissioner has
13.33approved:
14.1    (1) a plan for achieving compliance, including the business's proposed actions and
14.2response to the commissioner's recommendations; and
14.3    (2) a proposed date for achieving compliance and for submitting a revised report
14.4for the commissioner's review.
14.5    Subd. 2. Filing fee; account; appropriation. The commissioner shall collect a $75
14.6fee for each certificate of compliance issued by the commissioner under this section. The
14.7proceeds of the fee must be deposited in the state treasury and credited to a pay equity fee
14.8special revenue account. Money in the account is appropriated to the commissioner to
14.9fund the cost of administering this section.
14.10    Subd. 3. Revocation of certificate. A certificate of compliance may be suspended
14.11or revoked by the commissioner if a holder of a certificate is not effectively implementing
14.12or making a good faith effort to implement its approved plan to establish equitable
14.13compensation relationships. If a contractor does not effectively implement its approved
14.14plan, or fails to make a good faith effort to do so, the commissioner may refuse to approve
14.15subsequent plans submitted by that business.
14.16    Subd. 4. Revocation of contract. A contract awarded by a department or agency
14.17of the state may be terminated or abridged by the contracting department or agency if a
14.18certificate of compliance is suspended or revoked. If a contract is awarded to a business
14.19that does not have a contract certificate of compliance as required, the commissioner of
14.20administration may void the contract on behalf of the state.
14.21    Subd. 5. Technical assistance. If the commissioner has suspended a contractor's
14.22certificate of compliance, the commissioner shall provide technical assistance that may
14.23enable the contractor to be recertified within 90 days after the contractor's certificate of
14.24compliance has been suspended.
14.25    Subd. 6. Access to data. Data submitted to the commissioner by a contractor
14.26or potential contractor for purposes of obtaining a certificate of compliance under this
14.27section are private data on individuals or nonpublic data with respect to persons other than
14.28Department of Human Rights employees. The commissioner's decision to grant, not grant,
14.29revoke, or suspend a certificate of compliance is public data.
14.30EFFECTIVE DATE.This section is effective July 1, 2014, and applies to contracts
14.31for which a state department or agency issues solicitations on or after that date.

14.32    Sec. 12. Minnesota Statutes 2012, section 504B.001, is amended by adding a
14.33subdivision to read:
15.1    Subd. 2a. Court official. "Court official" means a judge, referee, court
15.2administrator, prosecutor, probation officer, or victim's advocate, whether employed by or
15.3under contract with the court, who is authorized to act on behalf of the court.

15.4    Sec. 13. Minnesota Statutes 2012, section 504B.001, is amended by adding a
15.5subdivision to read:
15.6    Subd. 10a. Qualifying document. "Qualifying document" means a document
15.7stating that the tenant or lawful occupant is a victim and naming the perpetrator, if known,
15.8which is signed by a:
15.9(i) court official;
15.10(ii) city, county, state, or tribal law enforcement official;
15.11(iii) licensed health care professional;
15.12(iv) domestic abuse advocate, as defined in section 595.02, subdivision 1, paragraph
15.13(l); or
15.14(v) sexual assault counselor, as defined in section 595.02, subdivision 1, paragraph
15.15(k).

15.16    Sec. 14. Minnesota Statutes 2012, section 504B.171, subdivision 1, is amended to read:
15.17    Subdivision 1. Terms of covenant. (a) In every lease or license of residential
15.18premises, whether in writing or parol, the landlord or licensor and the tenant or licensee
15.19covenant that:
15.20(1) neither will:
15.21(i) unlawfully allow controlled substances in those premises or in the common
15.22area and curtilage of the premises;
15.23(ii) allow prostitution or prostitution-related activity as defined in section 617.80,
15.24subdivision 4 , to occur on the premises or in the common area and curtilage of the premises;
15.25(iii) allow the unlawful use or possession of a firearm in violation of section 609.66,
15.26subdivision 1a , 609.67, or 624.713, on the premises or in the common area and curtilage
15.27of the premises; or
15.28(iv) allow stolen property or property obtained by robbery in those premises or in the
15.29common area and curtilage of the premises; and
15.30(2) the common area and curtilage of the premises will not be used by either the
15.31landlord or licensor or the tenant or licensee or others acting under the control of either to
15.32manufacture, sell, give away, barter, deliver, exchange, distribute, purchase, or possess a
15.33controlled substance in violation of any criminal provision of chapter 152. The covenant
15.34is not violated when a person other than the landlord or licensor or the tenant or licensee
16.1possesses or allows controlled substances in the premises, common area, or curtilage,
16.2unless the landlord or licensor or the tenant or licensee knew or had reason to know of
16.3that activity.
16.4(b) In every lease or license of residential premises, whether in writing or parol, the
16.5tenant or licensee covenants that the tenant or licensee will not commit an act enumerated
16.6under section 504B.206, subdivision 1, paragraph (a) against a tenant or licensee or any
16.7person in the tenant or licensee's family or household.

16.8    Sec. 15. Minnesota Statutes 2012, section 504B.206, subdivision 1, is amended to read:
16.9    Subdivision 1. Right to terminate; procedure. (a) A tenant to a residential lease
16.10who is a victim of domestic abuse and fears imminent domestic abuse against the tenant or
16.11the tenant's minor children if the tenant or the tenant's minor children remain in the leased
16.12premises may terminate a lease agreement without penalty or liability as provided in this
16.13section. The tenant must provide advance written notice to the landlord stating that:
16.14    (1) the tenant fears imminent domestic abuse from a person named in an order
16.15for protection or no contact order;
16.16    (2) the tenant needs to terminate the tenancy; and
16.17    (3) the specific date the tenancy will terminate.
16.18    A tenant to a residential lease may terminate a lease agreement without penalty or
16.19liability as provided in this section if the tenant or another lawful occupant fears imminent
16.20violence after being subjected to:
16.21    (1) domestic abuse, as defined in section 518B.01, subdivision 2;
16.22    (2) criminal sexual assault, as defined in sections 609.342 to 609.3451; or
16.23    (3) stalking, as defined in section 609.749, subdivision 1.
16.24    (b) The tenant must provide advance written notice to the landlord:
16.25    (1) stating the tenant fears imminent violence against the tenant or a lawful occupant
16.26if the tenant or lawful occupant remains in the leased premises from a person named in an
16.27order for protection or no contact order or as indicated in a qualifying document;
16.28    (2) stating the tenant needs to terminate the tenancy;
16.29    (3) providing the specific date the tenancy will terminate; and
16.30    (4) providing written instructions for the disposition of any remaining personal
16.31property in accordance with section 504B.271.
16.32    (c) The written notice must be delivered before the termination of the tenancy by
16.33mail, fax, or in person, and be accompanied by the order for protection or, no contact
16.34order, or qualifying document.
17.1    (d) The tenancy terminates, including the right of possession of the premises, on the
17.2termination date stated in the notice under paragraph (b).
17.3    (c) (e) For purposes of this section, an order for protection means an order issued
17.4under chapter 518B. A no contact order means a no contact order currently in effect,
17.5issued under section 629.75 or chapter 609.

17.6    Sec. 16. Minnesota Statutes 2012, section 504B.206, subdivision 3, is amended to read:
17.7    Subd. 3. Liability for rent; termination of tenancy. (a) A tenant who is a sole
17.8tenant and is terminating a lease under subdivision 1 is responsible for the rent payment
17.9for the full month in which the tenancy terminates and an additional amount equal to one
17.10month's rent. The tenant forfeits all claims for the return of the security deposit under
17.11section 504B.178 and is relieved of any other contractual obligation for payment of rent or
17.12any other charges for the remaining term of the lease, except as provided in this section.
17.13    (b) In a tenancy with multiple tenants, any lease governing all tenants is terminated
17.14at the latter of the end of the month or the end of the rent interval in which one tenant
17.15terminates the lease under subdivision 1. Upon termination, all claims by all tenants for
17.16the return of the security deposit under section 504B.178, and all claims by the landlord
17.17for future rent, are forfeited, provided that the landlord and remaining tenants maintain all
17.18rights and remedies available under law and the terms of the lease until termination of
17.19the lease. Any tenant whose tenancy was terminated under this paragraph may reapply
17.20to enter into a new lease with the landlord, provided the provisions of section 504B.173
17.21do not apply.
17.22    (c) This section does not affect a tenant's liability for delinquent, unpaid rent or
17.23other amounts owed to the landlord before the lease was terminated by the tenant under
17.24this section.
17.25    (c) The tenancy terminates, including the right of possession of the premises, on the
17.26termination date stated in the notice under subdivision 1. The amount equal to one month's
17.27rent must be paid on or before the termination of the tenancy for the tenant to be relieved of
17.28the contractual obligations for the remaining term of the lease as provided in this section.
17.29    (d) For purposes of this section, the provisions of section 504B.178 are triggered
17.30as follows:
17.31    (1) if the only tenant is the tenant who is the victim of domestic abuse and the
17.32tenant's minor children, if any, upon the first day of the month following the later of:
17.33    (i) the date the tenant vacates the premises; or
17.34    (ii) the termination of the tenancy indicated in the written notice under subdivision
17.351; or
18.1    (2) if there are additional tenants bound by the lease, upon the expiration of the lease.

18.2    Sec. 17. Minnesota Statutes 2012, section 504B.206, is amended by adding a
18.3subdivision to read:
18.4    Subd. 7. Conflict with other law. If a federal statute, regulation, or handbook
18.5permitting termination of a residential tenancy subsidized under a federal program
18.6conflicts with any provision of this section, then the landlord must comply with the federal
18.7statute, regulation, or handbook.

18.8    Sec. 18. Minnesota Statutes 2012, section 504B.285, subdivision 1, is amended to read:
18.9    Subdivision 1. Grounds. (a) The person entitled to the premises may recover
18.10possession by eviction when:
18.11(1) any person holds over real property:
18.12(i) after a sale of the property on an execution or judgment; or
18.13(ii) after the expiration of the time for redemption on foreclosure of a mortgage, or
18.14after termination of contract to convey the property;
18.15(2) any person holds over real property after termination of the time for which it is
18.16demised or leased to that person or to the persons under whom that person holds possession,
18.17contrary to the conditions or covenants of the lease or agreement under which that person
18.18holds, or after any rent becomes due according to the terms of such lease or agreement; or
18.19(3) any tenant at will holds over after the termination of the tenancy by notice to quit.
18.20(b) A landlord must not commence an eviction action against a tenant or lawful
18.21occupant solely on the basis that the tenant or lawful occupant has been the victim of
18.22any of the acts listed in section 504B.206, subdivision 1, paragraph (a). Nothing in this
18.23paragraph should be construed to prohibit an eviction action based on a breach of the lease.

18.24    Sec. 19. CERTIFICATE OF COMPLIANCE; TEMPORARY PROVISION.
18.25    Until July 1, 2015, a business that is not in compliance with equitable compensation
18.26relationship standards is making a good faith effort to achieve compliance if the
18.27commissioner of human rights has approved:
18.28    (1) a statement of the business's intention to prepare a pay equity report and an
18.29estimated date no later than July 1, 2016, when the report and plan will be submitted; and
18.30    (2) information on the business's current status, including a statement on the
18.31existence of a job evaluation system, the total number of male and female employees of
18.32the business within this state, and the business's interest in receiving training on how to
18.33establish equitable compensation relationships.
19.1EFFECTIVE DATE.This section applies to contracts for which a state department
19.2or agency issues solicitations on or after January 1, 2015.

19.3    Sec. 20. REPORT.
19.4    The commissioner of human rights, in cooperation with the commissioner of
19.5administration, shall report to the legislature by January 31, 2015, on implementation
19.6of sections 1, 3 ,11, and 19. The report must include findings and recommendations
19.7on any changes needed to ensure that state contractors achieve equitable compensation
19.8relationships.

19.9    Sec. 21. WOMEN AND NONTRADITIONAL JOBS GRANT PROGRAM;
19.10APPROPRIATION.
19.11$500,000 is appropriated from the general fund in fiscal year 2015 to the
19.12commissioner of employment and economic development to develop and implement
19.13the women and nontraditional jobs grant program under Minnesota Statutes, section
19.14116L.99. Funds available under this section must not supplant other funds available for
19.15the same purposes.

19.16    Sec. 22. WOMEN AND NONTRADITIONAL JOBS APPRENTICESHIPS;
19.17APPROPRIATION.
19.18$250,000 is appropriated from the general fund in fiscal year 2015 to the
19.19commissioner of labor and industry for the labor education advancement program under
19.20Minnesota Statutes, section 178.11, to educate, promote, assist, and support women to
19.21enter apprenticeship programs in nontraditional occupations. Funds available under this
19.22section must not supplant other funds available for the same purposes.

19.23    Sec. 23. WOMEN ENTREPRENEURS BUSINESS DEVELOPMENT
19.24COMPETITIVE GRANT PROGRAM.
19.25    Subdivision 1. Appropriation. $500,000 is appropriated from the general fund
19.26in fiscal year 2015 to the commissioner of employment and economic development
19.27to establish a women entrepreneurs business development competitive grant program
19.28to facilitate the creation and expansion of high-growth, high-revenue businesses by
19.29entrepreneurs who are women. This is a onetime appropriation and is available until
19.30expended.
20.1    Subd. 2. Definitions. For the purposes of this section, the following terms have
20.2the meanings given.
20.3(a) "Women-owned business" means a business entity owned or controlled by
20.4women that is organized for profit including, but not limited to, an individual, partnership,
20.5corporation, joint venture, association, or cooperative. "Owned or controlled by women"
20.6means:
20.7(1) that the business is at least 51 percent owned by one or more women or, in the
20.8case of any publicly traded business, at least 51 percent of the stock of which is owned by
20.9one or more women; and
20.10(2) the business has management and daily business operations that are controlled
20.11by one or more women.
20.12(b) "High economic impact firm" means a business that is projected to generate at
20.13least $500,000 in annual revenue and create at least ten high-quality jobs.
20.14(c) "Qualified business" means a women-owned business in the field of construction;
20.15transportation; warehousing; agriculture; mining; finance; insurance; professional,
20.16technical, or scientific services; technology; or other high economic impact industries.
20.17(d) "High-quality job" means a job that pays an annual income equal to at least 150
20.18percent of the federal poverty guideline adjusted for a family size of four.
20.19    Subd. 3. Use of funds. Funds available under this section may be used for:
20.20(1) entrepreneurial training, mentoring, and technical assistance for the startup or
20.21expansion of businesses owned by women;
20.22(2) development of networks of potential investors; and
20.23(3) development of a recruitment program for midcareer women with an interest
20.24in starting a qualified business.

20.25    Sec. 24. REPEALER.
20.26Minnesota Statutes 2012, section 504B.206, subdivisions 4 and 6, are repealed.


20.29    Section 1. Minnesota Statutes 2012, section 177.24, subdivision 1, is amended to read:
20.30    Subdivision 1. Amount. (a) For purposes of this subdivision, the terms defined in
20.31this paragraph have the meanings given them.
20.32(1) "Large employer" means an enterprise whose annual gross volume of sales made
20.33or business done is not less than $625,000 $500,000 (exclusive of excise taxes at the
21.1retail level that are separately stated) and covered by the Minnesota Fair Labor Standards
21.2Act, sections 177.21 to 177.35.
21.3(2) "Small employer" means an enterprise whose annual gross volume of sales
21.4made or business done is less than $625,000 $500,000 (exclusive of excise taxes at the
21.5retail level that are separately stated) and covered by the Minnesota Fair Labor Standards
21.6Act, sections 177.21 to 177.35.
21.7(b) Except as otherwise provided in sections 177.21 to 177.35, every large employer
21.8must pay each employee wages at a rate of at least $5.15 an hour beginning September
21.91, 1997, and at a rate of at least $6.15 an hour beginning August 1, 2005. Every small
21.10employer must pay each employee at a rate of at least $4.90 an hour beginning January 1,
21.111998, and at a rate of at least $5.25 an hour beginning August 1, 2005:
21.12(1) every large employer must pay each employee wages at a rate of at least:
21.13(i) $8.00 per hour beginning August 1, 2014;
21.14(ii) $9.00 per hour beginning August 1, 2015;
21.15(iii) $9.50 per hour beginning August 1, 2016; and
21.16(iv) the rate established under paragraph (d) beginning January 1, 2017; and
21.17(2) every small employer must pay each employee at a rate of at least:
21.18(i) $7.00 per hour beginning August 1, 2014;
21.19(ii) $8.00 per hour beginning August 1, 2015;
21.20(iii) $8.50 per hour beginning August 1, 2016; and
21.21(iv) the rate established under paragraph (d) beginning January 1, 2017.
21.22(c) Notwithstanding paragraph (b), during the first 90 consecutive days of
21.23employment, an employer may pay an employee under the age of 20 years a wage of $4.90
21.24an hour. No employer may take any action to displace any employee, including a partial
21.25displacement through a reduction in hours, wages, or employment benefits, in order to hire
21.26an employee at the wage authorized in this paragraph at least:
21.27(1) $6.50 per hour beginning August 1, 2014;
21.28(2) $7.50 per hour beginning August 1, 2015;
21.29(3) $8.00 per hour beginning August 1, 2016; and
21.30(4) the rate established under paragraph (d) beginning January 1, 2017.
21.31No employer may take any action to displace an employee, including a partial
21.32displacement through a reduction in hours, wages, or employment benefits, in order to
21.33hire an employee at the wage authorized in this paragraph.
21.34(d) No later than November 1 of each year, beginning in 2016, the commissioner
21.35shall determine the percentage increase in the rate of inflation, as measured by the
21.36Consumer Price Index for all urban consumers, United States city average, as determined
22.1by the United States Department of Labor, during the most recent 12-month period for
22.2which data is available. The minimum wage rates in paragraphs (b) and (c) are increased
22.3by the lesser of: (1) 2.5 percent, rounded to the nearest cent; or (2) the percentage
22.4calculated by the commissioner, rounded to the nearest cent. The new minimum wage
22.5rates determined under this paragraph take effect on the next January 1.
22.6(e) Minimum wage standards and inflation must be reflected in statewide
22.7reimbursement rates and county and state purchase of service contracts for social services,
22.8including those provided by direct service staff through home and community-based
22.9services waivers for seniors and persons with disabilities.
22.10EFFECTIVE DATE.This section is effective August 1, 2014.

22.11    Sec. 2. Minnesota Statutes 2012, section 181.940, subdivision 2, is amended to read:
22.12    Subd. 2. Employee. "Employee" means a person who performs services for hire for
22.13an employer from whom a leave is requested under sections 181.940 to 181.944 for:
22.14(1) at least 12 consecutive months immediately preceding the request; and
22.15(2) for an average number of hours per week equal to one-half the full-time
22.16equivalent position in the employee's job classification as defined by the employer's
22.17personnel policies or practices or pursuant to the provisions of a collective bargaining
22.18agreement, during those 12 months.
22.19Employee includes all individuals employed at any site owned or operated by the
22.20employer but does not include an independent contractor.

22.21    Sec. 3. Minnesota Statutes 2012, section 181.941, is amended to read:
22.22181.941 PREGNANCY AND PARENTING LEAVE.
22.23    Subdivision 1. Six Twelve-week leave; pregnancy, birth, or adoption. (a) An
22.24employer must grant an unpaid leave of absence to an employee who is a natural or
22.25adoptive parent in conjunction with the birth or adoption of a child. The length of the
22.26leave shall be determined by the employee, but may not exceed six weeks, unless agreed
22.27to by the employer.:
22.28(1) a natural or adoptive parent in conjunction with the birth or adoption of a child; or
22.29(2) a female employee for prenatal care, or incapacity due to pregnancy, childbirth,
22.30or related health conditions.
22.31(b) The length of the leave shall be determined by the employee, but must not exceed
22.3212 weeks, unless agreed to by the employer.
23.1    Subd. 2. Start of leave. The leave shall begin at a time requested by the employee.
23.2The employer may adopt reasonable policies governing the timing of requests for unpaid
23.3leave. and may require an employee who plans to take a leave under this section to give
23.4the employer reasonable notice of the date the leave shall commence and the estimated
23.5duration of the leave. For leave taken under subdivision 1, paragraph (a), clause (1), the
23.6leave may must begin not more than six weeks after within 12 months of the birth or
23.7adoption; except that, in the case where the child must remain in the hospital longer than
23.8the mother, the leave may not must begin more than six weeks within 12 months after the
23.9child leaves the hospital.
23.10    Subd. 3. No employer retribution. An employer shall not retaliate against an
23.11employee for requesting or obtaining a leave of absence as provided by this section.
23.12    Subd. 4. Continued insurance. The employer must continue to make coverage
23.13available to the employee while on leave of absence under any group insurance policy,
23.14group subscriber contract, or health care plan for the employee and any dependents.
23.15Nothing in this section requires the employer to pay the costs of the insurance or health
23.16care while the employee is on leave of absence.

23.17    Sec. 4. [181.9414] PREGNANCY ACCOMMODATIONS.
23.18    Subdivision 1. Accommodation. An employer must provide reasonable
23.19accommodation for an employee for conditions related to pregnancy, childbirth, or related
23.20health conditions, if she so requests. The employer may provide the accommodation
23.21requested by the employee or an equally effective alternative. "Reasonable
23.22accommodation" includes, but is not limited to: seating, frequent restroom breaks, and
23.23limits to heavy lifting.
23.24    Subd. 2. Transfer. An employer must temporarily transfer a pregnant female
23.25employee to a less strenuous or hazardous position for the duration of her pregnancy if she
23.26so requests where that transfer can be reasonably accommodated. An employee requesting
23.27a temporary transfer shall be required to provide to the employer a certification of medical
23.28necessity from her doctor. However, no employer shall be required by this subdivision to
23.29create additional employment that the employer would not otherwise have created, nor
23.30shall the employer be required to discharge any employee, transfer any employee with
23.31more seniority, or promote any employee who is not qualified to perform the job.
23.32    Subd. 3. Interaction with other laws. Nothing in this section shall be construed to
23.33affect any other provision of law relating to sex discrimination or pregnancy, or in any
23.34way to diminish the coverage of pregnancy, childbirth, or health conditions related to
23.35pregnancy or childbirth under any other provisions of any other law.
24.1    Subd. 4. No employer retribution. An employer shall not retaliate against an
24.2employee for requesting or obtaining accommodation under this section.
24.3EFFECTIVE DATE.This section is effective the day following final enactment.

24.4    Sec. 5. Minnesota Statutes 2012, section 181.943, is amended to read:
24.5181.943 RELATIONSHIP TO OTHER LEAVE.
24.6(a) The length of parental leave provided under section 181.941 may be reduced
24.7by any period of paid parental or disability leave, but not accrued sick leave, provided
24.8by the employer, so that the total leave does not exceed six weeks, unless agreed to by
24.9the employer.:
24.10(1) paid parental, disability, personal, medical, or sick leave, or accrued vacation
24.11provided by the employer so that the total leave does not exceed 12 weeks, unless agreed
24.12to by the employer; or
24.13(2) leave taken for the same purpose by the employee under United States Code,
24.14title 29, chapter 28.
24.15(b) Nothing in sections 181.940 to 181.943 prevents any employer from providing
24.16leave benefits in addition to those provided in sections 181.940 to 181.944 or otherwise
24.17affects an employee's rights with respect to any other employment benefit.

24.18    Sec. 6. [181.9441] EARNED SICK AND SAFE TIME.
24.19    Subdivision 1. Definitions. (a) For the purposes of this section, the following terms
24.20have the meanings given.
24.21(b) "Child" means a minor or adult: biological child, adopted child, foster child,
24.22grandchild, stepchild, legal ward, or a person to whom the covered employee stands in
24.23loco parentis.
24.24(c) "Covered employee" means an employee who has been employed for not less
24.25than 30 days by the employer from whom earned sick and safe time is requested.
24.26(d) "Domestic abuse" has the meaning given in section 518B.01.
24.27(e) "Employee" has the meaning given in section 177.23, subdivision 7, except that
24.28for the purpose of this section, employee includes any individual employed in a bona fide
24.29executive, administrative, or professional capacity, or a salesperson who conducts no more
24.30than 20 percent of sales on the premises of the employer, and includes recipients of public
24.31benefits who are engaged in work activity as a condition of receiving public assistance.
25.1(f) "Employer" means any individual, partnership, association, corporation, business,
25.2trust, the state and any political subdivision of the state, or any person or group of persons
25.3acting directly or indirectly in the interest of an employer in relation to an employee.
25.4(g) "Extended family member" means any individual related by blood or affinity
25.5whose close association with the covered employee is the equivalent of a family
25.6relationship.
25.7(h) "Grandparent" means a parent of a parent.
25.8(i) "Earned sick and safe time" means leave that is compensated at the same hourly
25.9rate as the covered employee earns from employment and is provided by an employer to a
25.10covered employee for the purposes described in subdivision 3.
25.11(j) "Parent" means:
25.12(1) a biological parent, foster parent, stepparent, adoptive parent, or legal guardian
25.13of a covered employee or a covered employee's spouse; or
25.14(2) a person who stood in loco parentis when the covered employee or covered
25.15employee's spouse was a minor child.
25.16(k) "Sexual assault" means an act that constitutes a violation under sections 609.342
25.17to 609.3453 or 609.352.
25.18(l) "Sibling" means a biological, foster, adoptive, or step-sibling.
25.19(m) "Stalking" has the meaning given in section 609.749.
25.20(n) "Spouse" means a person to whom the covered employee is legally married
25.21under the laws of Minnesota.
25.22    Subd. 2. Accrual of earned sick and safe time. (a) A covered employee shall accrue
25.23a minimum of one hour of earned sick and safe time for every 30 hours worked. A covered
25.24employee may not accrue more than 72 hours of earned sick and safe time in a calendar
25.25year unless the employer agrees to a higher amount, except as provided in paragraph (b).
25.26(b) Covered employees of an employer that employs fewer than 21 employees may
25.27not accrue more than 40 hours of earned sick and safe time in a calendar year unless
25.28the employer agrees to a higher amount.
25.29(c) Covered employees who are exempt from overtime requirements under United
25.30States Code, title 29, section 213(a)(1), are deemed to work 40 hours in each work week
25.31for purposes of accruing earned sick and safe time, except that a covered employee whose
25.32normal work week is less than 40 hours will accrue earned sick and safe time based upon
25.33the normal work week.
25.34(d) Earned sick and safe time under this section begins to accrue at the
25.35commencement of employment of the covered employee.
26.1(e) Covered employees shall be entitled to use accrued earned sick and safe time
26.2beginning 90 calendar days following commencement of their employment. After 90
26.3calendar days of employment, covered employees may use earned sick and safe time
26.4as it is accrued.
26.5(f) Earned sick and safe time shall be carried over to the following calendar year.
26.6(g) An employer complies with this section if the employer has a sick and safe time
26.7policy that makes available an amount of sick and safe time at least equal to and which
26.8may be used for the same purposes and under the same conditions as earned sick and safe
26.9time under this section.
26.10(h) An employer may adopt or retain sick and safe time policies that are more
26.11generous to a covered employee than the requirements under this section.
26.12    Subd. 3. Use of earned sick and safe time. (a) Earned sick and safe time must be
26.13provided to a covered employee by an employer for:
26.14(1) a covered employee's:
26.15(i) mental or physical illness, injury, or health condition;
26.16(ii) need for medical diagnosis, care, or treatment of a mental or physical illness,
26.17injury, or health condition; or
26.18(iii) need for preventive medical or health care;
26.19(2) care of a spouse, child, parent, grandparent, sibling, or extended family member:
26.20(i) with a mental or physical illness, injury, or health condition;
26.21(ii) who needs medical diagnosis, care, or treatment of a mental or physical illness,
26.22injury, or health condition; or
26.23(iii) who needs preventive medical or health care;
26.24(3) absence due to domestic abuse, sexual assault, or stalking of the covered
26.25employee or covered employee's child, spouse, parent, grandparent, sibling, or extended
26.26family member, provided the absence is to:
26.27(i) seek medical attention related to physical or psychological injury or disability
26.28caused by domestic abuse, sexual assault, or stalking;
26.29(ii) obtain services from a victim services organization;
26.30(iii) obtain psychological or other counseling;
26.31(iv) seek relocation due to domestic abuse, sexual assault, or stalking; or
26.32(v) take legal action, including preparing for or participating in any civil or criminal
26.33legal proceeding related to or resulting from domestic abuse, sexual assault, or stalking; and
26.34(4) closure of the covered employee's place of business by order of a public official
26.35due to a public emergency, or a covered employee's need to care for a child whose school
26.36or place of care has been closed by order of a public official due to a public emergency.
27.1(b) An employer may require reasonable notice of the need for earned sick and safe
27.2time. If the need for the leave is foreseeable, an employer may require advance notice of
27.3the intention to use earned sick and safe time, but in no case shall require more than seven
27.4days' advance notice. If the need is not foreseeable, an employer may require a covered
27.5employee to give notice of the need for earned sick and safe time as soon as practicable.
27.6(c) For earned sick and safe time of more than three consecutive days, an employer
27.7may require reasonable documentation that the earned sick and safe time is covered by
27.8paragraph (a). For earned sick and safe time under paragraph (a), clause (1) or (2),
27.9reasonable documentation shall include a signed statement by a health care professional
27.10indicating the need for earned sick and safe time. For earned sick and safe time under
27.11paragraph (a), clause (3), a court record or documentation signed by an employee or
27.12volunteer working for a victims services organization, an attorney, a police officer, or other
27.13anti-violence counselor shall be considered reasonable documentation.
27.14(d) An employer may not require, as a condition of a covered employee's using earned
27.15sick and safe time, that the covered employee search for or find a replacement worker to
27.16cover the hours during which the covered employee is using earned sick and safe time.
27.17(e) Accrued earned sick and safe time may be used in the smaller of hourly
27.18increments or the smallest increment that the employer's payroll system uses to account
27.19for absences or use of other time.
27.20    Subd. 4. Retaliation prohibited. An employer shall not retaliate against a covered
27.21employee because the covered employee has requested earned sick and safe time, used
27.22earned sick and safe time, or made a complaint or filed an action to enforce a right to
27.23earned sick and safe time under this section.
27.24    Subd. 5. Notice and posting. (a) Employers shall give notice that covered
27.25employees are entitled to earned sick and safe time, the amount of earned sick and safe
27.26time, and the terms of its use under this section, that retaliation against covered employees
27.27who request or use earned sick and safe time is prohibited, and that each covered employee
27.28has the right to file a complaint or bring a civil action if earned sick and safe time is
27.29denied by the employer or the covered employee is retaliated against for requesting or
27.30using earned sick and safe time.
27.31(b) Employers may comply with this section by supplying covered employees
27.32with a notice in English and other appropriate languages that contains the information
27.33required in paragraph (a).
27.34(c) Employers may comply with this section by displaying a poster in a conspicuous
27.35and accessible place in each establishment where covered employees are employed which
27.36contains all information required under paragraph (a).
28.1(d) The commissioner shall create and make available to employers for their use
28.2in complying with this subdivision posters that contain the information required under
28.3paragraph (a).
28.4    Subd. 6. Rulemaking; investigations. (a) The commissioner shall adopt rules for
28.5implementing this section including, but not limited to, requirements for documentation
28.6by employers demonstrating compliance with this section.
28.7(b) The commissioner shall have enforcement authority and powers as provided
28.8under section 175.20 to administer this section.
28.9    Subd. 7. Remedies. (a) Any person aggrieved by a failure of an employer to provide
28.10earned sick and safe time as required by this section may bring an action in district
28.11court against the employer. A prevailing plaintiff in an action under this paragraph is
28.12entitled to recover the full amount of accrued earned sick and safe time, plus any actual
28.13damages suffered as a result of the employer's failure to provide earned sick and safe
28.14time, and reasonable attorney fees. A prevailing plaintiff is also entitled to any other
28.15appropriate legal or equitable relief as determined by the court, including but not limited
28.16to reinstatement in employment.
28.17(b) A covered employee subjected to retaliation in violation of this section may
28.18bring an action in district court against the employer. A prevailing plaintiff in an action
28.19under this paragraph is entitled to recover damages and reasonable attorney fees, and other
28.20appropriate legal or equitable relief as determined by the court.
28.21(c) Any person aggrieved by a violation of this section may file a complaint with the
28.22attorney general. The filing of a complaint with the attorney general does not preclude
28.23the filing of a civil action under paragraph (a) or (b). The attorney general may bring a
28.24civil action in district court to enforce this section on behalf of any person. The attorney
28.25general may request injunctive relief and, in the case of a willful violation, imposition of a
28.26fine of $1,000 per violation payable to the state.
28.27(d) An action authorized by this subdivision may be filed no later than five years
28.28from the date the alleged violation occurred.
28.29(e) Persons filing an action under this subdivision may seek certification as a class,
28.30consistent with the requirements of law and court rule.
28.31    Subd. 8. Confidentiality and nondisclosure. If an employer possesses health
28.32or medical information or information pertaining to domestic abuse, sexual assault,
28.33or stalking about a covered employee or covered employee's child, parent, spouse,
28.34grandparent, sibling, or extended family member, such information shall be treated
28.35as confidential and not disclosed except to the affected covered employee or with the
28.36permission of the affected covered employee.
29.1    Subd. 9. Encouragement of more generous sick and safe time policies; no effect
29.2on more generous policies. (a) Nothing in this section shall be construed to discourage or
29.3prohibit an employer from the adoption or retention of an earned sick and safe time policy
29.4more generous than required under this section.
29.5(b) Nothing in this section shall be construed as diminishing the obligation of an
29.6employer to comply with any contract, collective bargaining agreement, employment
29.7benefit plan, or other agreement providing more generous sick and safe time to a covered
29.8employee than required under this section.
29.9(c) Nothing in this section shall be construed as diminishing the rights of public
29.10employees regarding paid leave or use of leave as provided in section 43A.1815.
29.11    Subd. 10. Termination, separation, transfer. Nothing in this subdivision may be
29.12construed as requiring financial or other reimbursement to a covered employee from an
29.13employer upon the covered employee's termination, resignation, retirement, or other
29.14separation from employment for accrued earned sick and safe time that has not been
29.15used. If a covered employee is transferred to a separate division, entity, or location, but
29.16remains employed by the same employer, the covered employee is entitled to all earned
29.17sick and safe time accrued at the prior division, entity, or location and is entitled to use
29.18all earned sick and safe time as provided in this section. When there is a separation from
29.19employment and the covered employee is rehired within 12 months of separation by the
29.20same employer, previously accrued earned sick and safe time that had not been used must
29.21be reinstated. A covered employee is entitled to use accrued earned sick and safe time and
29.22accrue additional earned sick and safe time at the commencement of reemployment.
29.23An employer may loan earned sick and safe time to a covered employee in advance
29.24of accrual by the covered employee.
29.25EFFECTIVE DATE.This section is effective 180 days following final enactment.

29.26    Sec. 7. SEVERABILITY.
29.27If any provision of Minnesota Statutes, section 181.9441, or application thereof
29.28to any person or circumstance is judged invalid, the invalidity shall not affect other
29.29provisions or applications of the act which can be given effect without the invalid
29.30provision or application, and to this end the provisions of this act are declared severable.
29.31EFFECTIVE DATE.This section is effective the day following final enactment.

29.32    Sec. 8. REPEALER.
29.33Minnesota Statutes 2013 Supplement, section 181.9413, is repealed.
30.1EFFECTIVE DATE.This section is effective 180 days following final enactment.


30.4    Section 1. Minnesota Statutes 2012, section 181.939, is amended to read:
30.5181.939 NURSING MOTHERS.
30.6(a) An employer must provide reasonable unpaid break time each day to an
30.7employee who needs to express breast milk for her infant child. The break time must,
30.8if possible, run concurrently with any break time already provided to the employee. An
30.9employer is not required to provide break time under this section if to do so would unduly
30.10disrupt the operations of the employer.
30.11(b) The employer must make reasonable efforts to provide a room or other location,
30.12in close proximity to the work area, other than a bathroom or a toilet stall, that is shielded
30.13from view and free from intrusion from coworkers and the public and that includes access
30.14to an electrical outlet, where the employee can express her milk in privacy. The employer
30.15would be held harmless if reasonable effort has been made.
30.16(c) For the purposes of this section, "employer" means a person or entity that
30.17employs one or more employees and includes the state and its political subdivisions.
30.18(d) A violation of this section is an unfair employment practice as provided for under
30.19section 363A.08, subdivision 8.

30.20    Sec. 2. Minnesota Statutes 2012, section 363A.03, is amended by adding a subdivision
30.21to read:
30.22    Subd. 18a. Family caregiver. "Family caregiver" means a person who cares for
30.23another person:
30.24(1) who is related by blood, marriage, or legal custody; or
30.25(2) with whom the person lives in a familial relationship.
30.26EFFECTIVE DATE.This section is effective the day following final enactment.

30.27    Sec. 3. Minnesota Statutes 2012, section 363A.08, subdivision 1, is amended to read:
30.28    Subdivision 1. Labor organization. Except when based on a bona fide occupational
30.29qualification, it is an unfair employment practice for a labor organization, because of race,
30.30color, creed, religion, national origin, sex, marital status, status with regard to public
30.31assistance, familial status, status as a family caregiver, disability, sexual orientation, or age:
31.1(1) to deny full and equal membership rights to a person seeking membership or
31.2to a member;
31.3(2) to expel a member from membership;
31.4(3) to discriminate against a person seeking membership or a member with respect
31.5to hiring, apprenticeship, tenure, compensation, terms, upgrading, conditions, facilities,
31.6or privileges of employment; or
31.7(4) to fail to classify properly, or refer for employment or otherwise to discriminate
31.8against a person or member.
31.9EFFECTIVE DATE.This section is effective the day following final enactment.

31.10    Sec. 4. Minnesota Statutes 2012, section 363A.08, subdivision 2, is amended to read:
31.11    Subd. 2. Employer. Except when based on a bona fide occupational qualification, it
31.12is an unfair employment practice for an employer, because of race, color, creed, religion,
31.13national origin, sex, marital status, status with regard to public assistance, familial status,
31.14status as a family caregiver, membership or activity in a local commission, disability,
31.15sexual orientation, or age to:
31.16(1) refuse to hire or to maintain a system of employment which unreasonably
31.17excludes a person seeking employment; or
31.18(2) discharge an employee; or
31.19(3) discriminate against a person with respect to hiring, tenure, compensation, terms,
31.20upgrading, conditions, facilities, or privileges of employment.
31.21EFFECTIVE DATE.This section is effective the day following final enactment.

31.22    Sec. 5. Minnesota Statutes 2012, section 363A.08, subdivision 3, is amended to read:
31.23    Subd. 3. Employment agency. Except when based on a bona fide occupational
31.24qualification, it is an unfair employment practice for an employment agency, because of
31.25race, color, creed, religion, national origin, sex, marital status, status with regard to public
31.26assistance, familial status, status as a family caregiver, disability, sexual orientation, or
31.27age to:
31.28(1) refuse or fail to accept, register, classify properly, or refer for employment or
31.29otherwise to discriminate against a person; or
31.30(2) comply with a request from an employer for referral of applicants for
31.31employment if the request indicates directly or indirectly that the employer fails to comply
31.32with the provisions of this chapter.
31.33EFFECTIVE DATE.This section is effective the day following final enactment.

32.1    Sec. 6. Minnesota Statutes 2012, section 363A.08, subdivision 4, is amended to read:
32.2    Subd. 4. Employer, employment agency, or labor organization. (a) Except when
32.3based on a bona fide occupational qualification, it is an unfair employment practice for an
32.4employer, employment agency, or labor organization, before a person is employed by an
32.5employer or admitted to membership in a labor organization, to:
32.6(1) require or request the person to furnish information that pertains to race, color,
32.7creed, religion, national origin, sex, marital status, status with regard to public assistance,
32.8 familial status, status as a family caregiver, disability, sexual orientation, or age; or, subject
32.9to section 363A.20, to require or request a person to undergo physical examination; unless
32.10for the sole and exclusive purpose of national security, information pertaining to national
32.11origin is required by the United States, this state or a political subdivision or agency of
32.12the United States or this state, or for the sole and exclusive purpose of compliance with
32.13the Public Contracts Act or any rule, regulation, or laws of the United States or of this
32.14state requiring the information or examination. A law enforcement agency may, after
32.15notifying an applicant for a peace officer or part-time peace officer position that the law
32.16enforcement agency is commencing the background investigation on the applicant, request
32.17the applicant's date of birth, gender, and race on a separate form for the sole and exclusive
32.18purpose of conducting a criminal history check, a driver's license check, and fingerprint
32.19criminal history inquiry. The form shall include a statement indicating why the data is
32.20being collected and what its limited use will be. No document which has date of birth,
32.21gender, or race information will be included in the information given to or available to
32.22any person who is involved in selecting the person or persons employed other than the
32.23background investigator. No person may act both as background investigator and be
32.24involved in the selection of an employee except that the background investigator's report
32.25about background may be used in that selection as long as no direct or indirect references
32.26are made to the applicant's race, age, or gender; or
32.27(2) seek and obtain for purposes of making a job decision, information from any
32.28source that pertains to the person's race, color, creed, religion, national origin, sex,
32.29marital status, status with regard to public assistance, familial status, status as a family
32.30caregiver, disability, sexual orientation, or age, unless for the sole and exclusive purpose
32.31of compliance with the Public Contracts Act or any rule, regulation, or laws of the United
32.32States or of this state requiring the information; or
32.33(3) cause to be printed or published a notice or advertisement that relates to
32.34employment or membership and discloses a preference, limitation, specification, or
32.35discrimination based on race, color, creed, religion, national origin, sex, marital status,
33.1status with regard to public assistance, familial status, status as a family caregiver,
33.2 disability, sexual orientation, or age.
33.3(b) Any individual who is required to provide information that is prohibited by this
33.4subdivision is an aggrieved party under sections 363A.06, subdivision 4, and 363A.28,
33.5subdivisions 1 to 9.
33.6EFFECTIVE DATE.This section is effective the day following final enactment.

33.7    Sec. 7. Minnesota Statutes 2012, section 363A.08, is amended by adding a subdivision
33.8to read:
33.9    Subd. 8. Wage disclosure protection. An employer shall not discharge or in any
33.10other manner discriminate or retaliate against, coerce, intimidate, threaten, or interfere
33.11with any employee because the employee inquired about, disclosed, compared, or
33.12discussed the employee's wages or the wages of any other employee.
33.13EFFECTIVE DATE.This section is effective the day following final enactment.

33.14    Sec. 8. Minnesota Statutes 2012, section 363A.08, is amended by adding a subdivision
33.15to read:
33.16    Subd. 8. Nursing mothers. Except when based on a bona fide occupational
33.17qualification, any violation of section 181.939 by an employer is an unfair employment
33.18practice.


33.21    Section 1. Minnesota Statutes 2013 Supplement, section 119B.011, subdivision 19b,
33.22is amended to read:
33.23    Subd. 19b. Student parent. "Student parent" means a person who is:
33.24(1) under 21 years of age and has a child;
33.25(2) pursuing a high school or general equivalency diploma; and
33.26(3) residing within a county that has a basic sliding fee waiting list under section
33.27119B.03, subdivision 4; and
33.28(4) (3) not an MFIP participant.

33.29    Sec. 2. Minnesota Statutes 2012, section 119B.02, subdivision 1, is amended to read:
33.30    Subdivision 1. Child care services. The commissioner shall develop standards
33.31for county and human services boards to provide child care services to enable eligible
34.1families to participate in employment, training, or education programs. Within the limits
34.2of available appropriations, The commissioner shall distribute money to counties to
34.3reduce the costs of child care for eligible families. The commissioner shall adopt rules to
34.4govern the program in accordance with this section. The rules must establish a sliding
34.5schedule of fees for parents receiving child care services. The rules shall provide that
34.6funds received as a lump-sum payment of child support arrearages shall not be counted
34.7as income to a family in the month received but shall be prorated over the 12 months
34.8following receipt and added to the family income during those months. The commissioner
34.9shall maximize the use of federal money under title I and title IV of Public Law 104-193,
34.10the Personal Responsibility and Work Opportunity Reconciliation Act of 1996, and
34.11other programs that provide federal or state reimbursement for child care services for
34.12low-income families who are in education, training, job search, or other activities allowed
34.13under those programs. Money appropriated under this section must be coordinated with
34.14the programs that provide federal reimbursement for child care services to accomplish
34.15this purpose. Federal reimbursement obtained must be allocated to the county that spent
34.16money for child care that is federally reimbursable under programs that provide federal
34.17reimbursement for child care services. The counties commissioner shall use the federal
34.18money to expand child care services. The commissioner may adopt rules under chapter 14
34.19to implement and coordinate federal program requirements.

34.20    Sec. 3. Minnesota Statutes 2012, section 119B.02, subdivision 2, is amended to read:
34.21    Subd. 2. Contractual agreements with tribes. The commissioner may enter into
34.22contractual agreements with a federally recognized Indian tribe with a reservation in
34.23Minnesota to carry out the responsibilities of county human service agencies to the extent
34.24necessary for the tribe to operate child care assistance programs under sections 119B.03 and
34.25119B.05 . An agreement may allow for the tribe to be reimbursed for child care assistance
34.26services provided under section sections 119B.03 and 119B.05. The commissioner shall
34.27consult with the affected county or counties in the contractual agreement negotiations, if
34.28the county or counties wish to be included, in order to avoid the duplication of county
34.29and tribal child care services. Funding to support services under section 119B.03 may be
34.30transferred to the federally recognized Indian tribe with a reservation in Minnesota from
34.31allocations available to counties in which reservation boundaries lie. When funding is
34.32transferred under section 119B.03, the amount shall be commensurate to estimates of the
34.33proportion of reservation residents with characteristics identified in section 119B.03,
34.34subdivision 6 , to the total population of county residents with those same characteristics.

35.1    Sec. 4. Minnesota Statutes 2012, section 119B.03, subdivision 9, is amended to read:
35.2    Subd. 9. Portability pool. (a) The commissioner shall establish a pool of up to five
35.3percent of the annual appropriation for the basic sliding fee program to provide continuous
35.4child care assistance for eligible families who move between Minnesota counties. At the
35.5end of each allocation period, any unspent funds in the portability pool must be used for
35.6assistance under the basic sliding fee program. If expenditures from the portability pool
35.7exceed the amount of money available, the reallocation pool must be reduced to cover
35.8these shortages.
35.9(b) To be eligible for portable basic sliding fee assistance, a family that has moved
35.10from a county in which it (a) A family receiving child care assistance under the child care
35.11fund that has moved from a county in which the family was receiving basic sliding fee
35.12 child care assistance to a another county with a waiting list for the basic sliding fee program
35.13 must be admitted into the receiving county's child care assistance program if the family:
35.14(1) meet meets the income and eligibility guidelines for the basic sliding fee
35.15program; and
35.16(2) notify notifies the new county of residence within 60 days of moving and submit
35.17 submits information to the new county of residence to verify eligibility for the basic
35.18sliding fee program.
35.19(c) (b) The receiving county must:
35.20(1) accept administrative responsibility for applicants for portable basic sliding fee
35.21assistance at the end of the two months of assistance under the Unitary Residency Act;.
35.22(2) continue basic sliding fee assistance for the lesser of six months or until the
35.23family is able to receive assistance under the county's regular basic sliding program; and
35.24(3) notify the commissioner through the quarterly reporting process of any family
35.25that meets the criteria of the portable basic sliding fee assistance pool.

35.26    Sec. 5. Minnesota Statutes 2012, section 119B.035, subdivision 1, is amended to read:
35.27    Subdivision 1. Establishment. A family in which a parent provides care for the
35.28family's infant child may receive a subsidy in lieu of assistance if the family is eligible for
35.29or is receiving assistance under the basic sliding fee program. An eligible family must
35.30meet the eligibility factors under section 119B.09, except as provided in subdivision 4,
35.31and the requirements of this section. Subject to federal match and maintenance of effort
35.32requirements for the child care and development fund, and up to available appropriations,
35.33 the commissioner shall provide assistance under the at-home infant child care program
35.34and for administrative costs associated with the program. At the end of a fiscal year, the
36.1commissioner may carry forward any unspent funds under this section to the next fiscal
36.2year within the same biennium for assistance under the basic sliding fee program.

36.3    Sec. 6. Minnesota Statutes 2012, section 119B.035, subdivision 4, is amended to read:
36.4    Subd. 4. Assistance. (a) A family is limited to a lifetime total of 12 months of
36.5assistance under subdivision 2. The maximum rate of assistance is equal to 68 percent
36.6of the rate established under section 119B.13 for care of infants in licensed family child
36.7care in the applicant's county of residence.
36.8(b) A participating family must report income and other family changes as specified
36.9in the county's plan under section 119B.08, subdivision 3.
36.10(c) Persons who are admitted to the at-home infant child care program retain their
36.11position in any basic sliding fee program. Persons leaving the at-home infant child care
36.12program reenter the basic sliding fee program at the position they would have occupied.
36.13(d) Assistance under this section does not establish an employer-employee
36.14relationship between any member of the assisted family and the county or state.

36.15    Sec. 7. Minnesota Statutes 2013 Supplement, section 119B.05, subdivision 1, is
36.16amended to read:
36.17    Subdivision 1. Eligible participants. Families eligible for child care assistance
36.18under the MFIP child care program are:
36.19    (1) MFIP participants who are employed or in job search and meet the requirements
36.20of section 119B.10;
36.21    (2) persons who are members of transition year families under section 119B.011,
36.22subdivision 20 , and meet the requirements of section 119B.10;
36.23    (3) families who are participating in employment orientation or job search, or
36.24other employment or training activities that are included in an approved employability
36.25development plan under section 256J.95;
36.26    (4) MFIP families who are participating in work job search, job support,
36.27employment, or training activities as required in their employment plan, or in appeals,
36.28hearings, assessments, or orientations according to chapter 256J;
36.29    (5) MFIP families who are participating in social services activities under chapter
36.30256J as required in their employment plan approved according to chapter 256J;
36.31    (6) families who are participating in services or activities that are included in an
36.32approved family stabilization plan under section 256J.575;
36.33    (7) families who are participating in programs as required in tribal contracts under
36.34section 119B.02, subdivision 2, or 256.01, subdivision 2; and
37.1    (8) families who are participating in the transition year extension under section
37.2119B.011, subdivision 20a; and
37.3(9) (8) student parents as defined under section 119B.011, subdivision 19b.

37.4    Sec. 8. Minnesota Statutes 2012, section 119B.05, subdivision 5, is amended to read:
37.5    Subd. 5. Federal reimbursement. Counties and the state shall maximize their
37.6federal reimbursement under federal reimbursement programs for money spent for persons
37.7eligible under this chapter. The commissioner shall allocate any federal earnings to the
37.8county to be used to expand child care services under this chapter.

37.9    Sec. 9. Minnesota Statutes 2012, section 119B.08, subdivision 3, is amended to read:
37.10    Subd. 3. Child care fund plan. The county and designated administering agency
37.11shall submit a biennial child care fund plan to the commissioner. The commissioner shall
37.12establish the dates by which the county must submit the plans. The plan shall include:
37.13(1) a description of strategies to coordinate and maximize public and private
37.14community resources, including school districts, health care facilities, government
37.15agencies, neighborhood organizations, and other resources knowledgeable in early
37.16childhood development, in particular to coordinate child care assistance with existing
37.17community-based programs and service providers including child care resource and
37.18referral programs, early childhood family education, school readiness, Head Start, local
37.19interagency early intervention committees, special education services, early childhood
37.20screening, and other early childhood care and education services and programs to the extent
37.21possible, to foster collaboration among agencies and other community-based programs that
37.22provide flexible, family-focused services to families with young children and to facilitate
37.23transition into kindergarten. The county must describe a method by which to share
37.24information, responsibility, and accountability among service and program providers;
37.25(2) a description of procedures and methods to be used to make copies of the
37.26proposed state plan reasonably available to the public, including members of the public
37.27particularly interested in child care policies such as parents, child care providers, culturally
37.28specific service organizations, child care resource and referral programs, interagency
37.29early intervention committees, potential collaborative partners and agencies involved in
37.30the provision of care and education to young children, and allowing sufficient time for
37.31public review and comment; and
37.32(3) information as requested by the department to ensure compliance with the child
37.33care fund statutes and rules promulgated by the commissioner.
38.1The commissioner shall notify counties within 90 days of the date the plan is
38.2submitted whether the plan is approved or the corrections or information needed to approve
38.3the plan. The commissioner shall withhold a county's allocation until it has an approved
38.4plan. Plans not approved by the end of the second quarter after the plan is due may result
38.5in a 25 percent reduction in allocation. Plans not approved by the end of the third quarter
38.6after the plan is due may result in a 100 percent reduction in the allocation to the county
38.7 payments to a county until it has an approved plan. Counties are to maintain services despite
38.8any reduction in their allocation withholding of payments due to plans not being approved.

38.9    Sec. 10. Minnesota Statutes 2012, section 119B.09, subdivision 4a, is amended to read:
38.10    Subd. 4a. Temporary ineligibility of military personnel. Counties must reserve a
38.11family's position under the child care assistance fund if a family has been receiving child
38.12care assistance but is temporarily ineligible for assistance due to increased income from
38.13active military service. Activated military personnel may be temporarily ineligible until
38.14deactivation. A county must reserve a military family's position on the basic sliding fee
38.15waiting list under the child care assistance fund if a family is approved to receive child care
38.16assistance and reaches the top of the waiting list but is temporarily ineligible for assistance.

38.17    Sec. 11. Minnesota Statutes 2013 Supplement, section 119B.13, subdivision 1, is
38.18amended to read:
38.19    Subdivision 1. Subsidy restrictions. (a) Beginning February 3 July 1, 2014, the
38.20maximum rate paid for child care assistance in any county or county price cluster under
38.21the child care fund shall be the greater of the 25th 50th percentile of the 2011 most recent
38.22biennial child care provider rate survey under section 119B.02, subdivision 7, or the
38.23maximum rate effective November 28, 2011. The commissioner may: (1) assign a county
38.24with no reported provider prices to a similar price cluster; and (2) consider county level
38.25access when determining final price clusters.
38.26    (b) A rate which includes a special needs rate paid under subdivision 3 or under a
38.27school readiness service agreement paid under section 119B.231, may be in excess of the
38.28maximum rate allowed under this subdivision.
38.29    (c) The department shall monitor the effect of this paragraph on provider rates. The
38.30county shall pay the provider's full charges for every child in care up to the maximum
38.31established. The commissioner shall determine the maximum rate for each type of care
38.32on an hourly, full-day, and weekly basis, including special needs and disability care. The
38.33maximum payment to a provider for one day of care must not exceed the daily rate. The
38.34maximum payment to a provider for one week of care must not exceed the weekly rate.
39.1(d) Child care providers receiving reimbursement under this chapter must not be
39.2paid activity fees or an additional amount above the maximum rates for care provided
39.3during nonstandard hours for families receiving assistance.
39.4    (e) When the provider charge is greater than the maximum provider rate allowed,
39.5the parent is responsible for payment of the difference in the rates in addition to any
39.6family co-payment fee.
39.7    (f) All maximum provider rates changes shall be implemented on the Monday
39.8following the effective date of the maximum provider rate.
39.9    (g) Notwithstanding Minnesota Rules, part 3400.0130, subpart 7, maximum
39.10registration fees in effect on January 1, 2013, shall remain in effect.

39.11    Sec. 12. Minnesota Statutes 2012, section 119B.231, subdivision 5, is amended to read:
39.12    Subd. 5. Relationship to current law. (a) The following provisions in chapter 119B
39.13must be waived or modified for families receiving services under this section.
39.14    (b) Notwithstanding section 119B.13, subdivisions 1 and 1a, maximum weekly rates
39.15under this section are 125 percent of the existing maximum weekly rate for like-care.
39.16Providers eligible for a differential rate under section 119B.13, subdivision 3a, remain
39.17eligible for the differential above the rate identified in this section. Only care for children
39.18who have not yet entered kindergarten may be paid at the maximum rate under this
39.19section. The provider's charge for service provided through an SRSA may not exceed the
39.20rate that the provider charges a private-pay family for like-care arrangements.
39.21    (c) A family or child care provider may not be assessed an overpayment for care
39.22provided through an SRSA unless:
39.23    (1) there was an error in the amount of care authorized for the family; or
39.24    (2) the family or provider did not timely report a change as required under the law.
39.25    (d) Care provided through an SRSA is authorized on a weekly basis.
39.26    (e) Funds appropriated under this section to serve families eligible under section
39.27119B.03 are not allocated through the basic sliding fee formula under section 119B.03.
39.28 Funds appropriated under this section are used to offset increased costs when payments
39.29are made under SRSA's.
39.30    (f) Notwithstanding section 119B.09, subdivision 6, the maximum amount of child
39.31care assistance that may be authorized for a child receiving care through an SRSA in a
39.32two-week period is 160 hours per child.
39.33    (g) Effective May 23, 2008, absent day payment limits under section 119B.13,
39.34subdivision 7 , do not apply to children for care paid through SRSA's provided the family
39.35remains eligible under subdivision 3.

40.1    Sec. 13. Minnesota Statutes 2013 Supplement, section 124D.165, subdivision 3,
40.2is amended to read:
40.3    Subd. 3. Administration. (a) The commissioner shall establish application
40.4timelines and determine the schedule for awarding scholarships that meets operational
40.5needs of eligible families and programs. The commissioner may prioritize applications on
40.6factors including family income, geographic location, and whether the child's family is on a
40.7waiting list for a publicly funded program providing early education or child care services.
40.8(b) Scholarships may be awarded up to $5,000 for each eligible child. The
40.9commissioner shall establish a target for the average scholarship amount per child
40.10based on the results of the rate survey conducted under section 119B.13, subdivision 1,
40.11paragraph (b), per year.
40.12(c) A four-star rated program that has children eligible for a scholarship enrolled
40.13in or on a waiting list for a program beginning in July, August, or September may notify
40.14the commissioner, in the form and manner prescribed by the commissioner, each year
40.15of the program's desire to enhance program services or to serve more children than
40.16current funding provides. The commissioner may designate a predetermined number of
40.17scholarship slots for that program and notify the program of that number.
40.18(d) A scholarship is awarded for a 12-month period. If the scholarship recipient has
40.19not been accepted and subsequently enrolled in a rated program within ten months of the
40.20awarding of the scholarship, the scholarship cancels and the recipient must reapply in
40.21order to be eligible for another scholarship. A child may not be awarded more than one
40.22scholarship in a 12-month period.
40.23(e) A child who receives a scholarship who has not completed development
40.24screening under sections 121A.16 to 121A.19 must complete that screening within 90
40.25days of first attending an eligible program.
40.26EFFECTIVE DATE.This section is effective the day following final enactment.

40.27    Sec. 14. Minnesota Statutes 2012, section 256.017, subdivision 9, is amended to read:
40.28    Subd. 9. Timing and disposition of penalty and case disallowance funds. Quality
40.29control case penalty and administrative penalty amounts shall be disallowed or withheld
40.30from the next regular reimbursement made to the county agency for state and federal
40.31benefit reimbursements and federal administrative reimbursements for all programs
40.32covered in this section, according to procedures established in statute, but shall not be
40.33imposed sooner than 30 calendar days from the date of written notice of such penalties.
40.34Except for penalties withheld under the child care assistance program, all penalties
40.35must be deposited in the county incentive fund provided in section 256.018. Penalties
41.1withheld under the child care assistance program shall be reallocated to counties using the
41.2allocation formula under section 119B.03, subdivision 5. All penalties must be imposed
41.3according to this provision until a decision is made regarding the status of a written
41.4exception. Penalties must be returned to county agencies when a review of a written
41.5exception results in a decision in their favor.

41.6    Sec. 15. DIRECTION TO COMMISSIONER OF MANAGEMENT AND
41.7BUDGET.
41.8The state obligation for the basic sliding fee child care assistance program under
41.9Minnesota Statutes, section 119B.03, must be included in the Minnesota Management
41.10and Budget February and November forecast of state revenues and expenditures under
41.11Minnesota Statutes, section 16A.103, beginning with the November 2014 forecast.

41.12    Sec. 16. REPEALER.
41.13(a) Minnesota Statutes 2012, sections 119B.011, subdivision 20a; 119B.03,
41.14subdivisions 1, 2, 5, 6, 6a, 6b, and 8; and 119B.09, subdivision 3, are repealed.
41.15(b) Minnesota Statutes 2013 Supplement, section 119B.03, subdivision 4, is repealed.
41.16(c) Minnesota Rules, parts 3400.0020, subpart 8; 3400.0030; and 3400.0060,
41.17subparts 2, 4, 6, 6a, and 7, are repealed.