1.2relating to commerce; establishing the Minnesota Insurance Marketplace;
1.3prescribing its powers and duties; establishing the right not to participate;
1.4specifying open meeting requirements and data practices procedures;
1.5appropriating money;amending Minnesota Statutes 2012, section 13.7191, by
1.6adding a subdivision; proposing coding for new law as Minnesota Statutes,
1.7chapter 62V.
1.8BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.9    Section 1. Minnesota Statutes 2012, section 13.7191, is amended by adding a
1.10subdivision to read:
1.11    Subd. 14a. Minnesota Insurance Marketplace. Classification and sharing of data
1.12of the Minnesota Insurance Marketplace is governed by section 62V.06.

1.13    Sec. 2. [62V.01] TITLE.
1.14This chapter may be cited as the "Minnesota Insurance Marketplace Act."

1.15    Sec. 3. [62V.02] DEFINITIONS.
1.16    Subdivision 1. Scope. For the purposes of this chapter, the following terms have
1.17the meanings given.
1.18    Subd. 2. Board. "Board" means the board of directors specified in section 62V.04.
1.19    Subd. 3. Health benefit plan. "Health benefit plan" means a policy, contract,
1.20certificate, or agreement defined in section 62A.011, subdivision 3, and a dental plan
1.21defined in section 62Q.76, subdivision 3.
1.22    Subd. 4. Health carrier. "Health carrier" has the meaning defined in section
1.2362A.011.
2.1    Subd. 5. Individual market. "Individual market" means the market for health
2.2insurance coverage offered to individuals.
2.3    Subd. 6. Insurance producer. "Insurance producer" has the meaning defined
2.4in section 60K.31.
2.5    Subd. 7. Minnesota Insurance Marketplace. "Minnesota Insurance Marketplace"
2.6means the Minnesota Insurance Marketplace created as a state health benefit exchange
2.7as described in section 1311 of the federal Patient Protection and Affordable Care Act
2.8(Public Law 111-148), and further defined through amendments to the act and regulations
2.9issued under the act.
2.10    Subd. 8. Navigator. "Navigator" has the meaning described in section 1311(i) of
2.11the federal Patient Protection and Affordable Care Act (Public Law 111-148), and further
2.12defined through amendments to the act and regulations issued under the act.
2.13    Subd. 9. Exchange enrollment public health care program. "Exchange
2.14enrollment public health care program" means any exchange enrollment public health care
2.15program administered by the commissioner of human services whereby eligibility for the
2.16program is determined according to a modified adjusted gross income standard.
2.17    Subd. 10. Small group market. "Small group market" means the market for health
2.18insurance coverage offered to small employers as defined in section 62L.02, subdivision 26.

2.19    Sec. 4. [62V.03] MINNESOTA INSURANCE MARKETPLACE;
2.20ESTABLISHMENT.
2.21    Subdivision 1. Creation. The Minnesota Insurance Marketplace is created as a
2.22board under section 15.012, paragraph (a), to:
2.23(1) promote innovation, competition, quality, value, market participation,
2.24affordability, suitable and meaningful choices, health improvement, care management,
2.25and portability of health benefit plans;
2.26(2) facilitate and simplify the comparison, choice, enrollment, and purchase of health
2.27benefit plans for individuals purchasing in the individual market through the Minnesota
2.28Insurance Marketplace and for employees and employers purchasing in the small group
2.29market through the Minnesota Insurance Marketplace;
2.30(3) assist small employers with access to small business health insurance tax credits
2.31and to assist individuals with access to exchange enrollment public health care programs,
2.32premium assistance tax credits and cost-sharing reductions, and certificates of exemption
2.33from individual responsibility requirements;
2.34(4) facilitate the integration and transition of individuals between exchange
2.35enrollment public health care programs and health benefit plans in the individual or
3.1group market and develop processes that, to the maximum extent possible, provide for
3.2continuous coverage;
3.3    (5) establish a name for the Web-based exchange based on market studies that show
3.4maximum effectiveness in attracting the uninsured and motivating them to take action; and
3.5    (6) evaluate the effectiveness of the outreach and implementation activities of the
3.6Minnesota Insurance Marketplace in reducing the rate of uninsurance in Minnesota and
3.7in addressing the above responsibilities.
3.8    Subd. 2. Application of other law. (a) The Minnesota Insurance Marketplace
3.9must be reviewed by the legislative auditor under section 3.971. The legislative auditor
3.10shall audit the books, accounts, and affairs of the Minnesota Insurance Marketplace
3.11once each year or less frequently as the legislative auditor's funds and personnel permit.
3.12Pursuant to section 3.97, subdivision 3a, the Legislative Audit Commission is requested
3.13to direct the legislative auditor to report by March 1, 2014, to the legislature on any
3.14duplication of services that occurs within state government as a result of the creation of the
3.15Minnesota Insurance Marketplace. The legislative auditor may make recommendations on
3.16consolidating or eliminating any services deemed duplicative. The board shall reimburse
3.17the legislative auditor for any costs incurred in the creation of this report.
3.18(b) Board members of the Minnesota Insurance Marketplace are subject to section
3.1910A.07. Board members and the personnel of the Minnesota Insurance Marketplace
3.20are subject to section 10A.071.
3.21(c) All meetings of the board shall comply with the open meeting law in chapter
3.2213D, except that:
3.23(1) meetings, or portions of meetings, regarding compensation negotiations with the
3.24director or managerial staff may be closed in the same manner and according to the same
3.25procedures identified in section 13D.03;
3.26(2) meetings regarding contract negotiation strategy may be closed in the same
3.27manner and according to the same procedures identified in section 13D.05, subdivision 3,
3.28paragraph (c); and
3.29(3) meetings, or portions of meetings, regarding not public data described in section
3.3062V.06, subdivision 2, and regarding trade secret information as defined in section 13.37,
3.31subdivision 1, paragraph (b), are closed to the public, but must otherwise comply with
3.32the procedures identified in chapter 13D.
3.33(d) The Minnesota Insurance Marketplace and provisions specified under this
3.34chapter are exempt from:
3.35(1) chapter 14, including section 14.386 but not sections 14.48 to 14.69; and
4.1(2) chapters 16B and 16C, with the exception of sections 16C.08, subdivision
4.22, paragraph (b), clauses (1) to (8); 16C.086; 16C.09, paragraph (a), clauses (1) and
4.3(3), paragraph (b), and paragraph (c); and section 16C.16. However, the Minnesota
4.4Insurance Marketplace, in consultation with the commissioner of administration, shall
4.5implement policies and procedures to establish an open and competitive procurement
4.6process for the Minnesota Insurance Marketplace that, to the extent practicable, conforms
4.7to the principles and procedures contained in chapters 16B and 16C. In addition, the
4.8Minnesota Insurance Marketplace may enter into an agreement with the commissioner of
4.9administration for other services.

4.10    Sec. 5. [62V.04] GOVERNANCE.
4.11    Subdivision 1. Board. The Minnesota Insurance Marketplace is governed by a
4.12board of directors with seven members.
4.13    Subd. 2. Appointment. (a) Board membership of the Minnesota Insurance
4.14Marketplace consists of the following:
4.15(1) three members appointed by the governor with the advice and consent of both
4.16the senate and the house of representatives acting separately in accordance with paragraph
4.17(d), with one member representing the interests of individual consumers eligible for
4.18individual market coverage, one member representing individual consumers eligible for
4.19exchange enrollment public health care program coverage, and one member representing
4.20small employers. Members are appointed to serve four-year staggered terms following the
4.21initial staggered-term lot determination;
4.22(2) three members appointed by the governor with the advice and consent of both
4.23the senate and the house of representatives acting separately in accordance with paragraph
4.24(d) who have demonstrated expertise, leadership, and innovation in the following areas:
4.25one member representing the areas of health administration, health care finance, health
4.26plan purchasing, and health care delivery systems; one member representing the areas of
4.27public health, health disparities, exchange enrollment public health care programs, and
4.28the uninsured; and one member representing health policy issues related to the small
4.29group and individual markets. Members are appointed to serve four-year staggered terms
4.30following the initial staggered-term lot determination; and
4.31(3) the commissioner of human services or a designee.
4.32(b) Section 15.0597 shall apply to all appointments, except for the commissioner
4.33and initial appointments.
4.34(c) The governor shall make appointments to the board that are consistent with
4.35federal law and regulations regarding its composition and structure.
5.1(d) Upon appointment by the governor, a board member shall exercise duties of
5.2office immediately. If both the house of representatives and the senate vote not to confirm
5.3an appointment, the appointment terminates on the day following the vote not to confirm
5.4in the second body to vote.
5.5(e) Initial appointments shall be made within 30 days of enactment.
5.6    Subd. 3. Terms. (a) Board members may serve no more than two consecutive
5.7terms, except for the commissioner or the commissioner's designee, who shall serve
5.8until replaced by the governor.
5.9(b) A board member may resign at any time by giving written notice to the board.
5.10(c) The appointed members under subdivision 2, paragraph (a), clauses (1) and (2),
5.11shall have an initial term of two, three, or four years, determined by lot by the secretary of
5.12state.
5.13    Subd. 4. Conflicts of interest. Within one year prior to or at any time during their
5.14appointed term, board members appointed under subdivision 2, paragraph (a), clauses (1)
5.15and (2), shall not be employed by, be a member of the board of directors of, or otherwise
5.16be a representative of a health carrier, health care provider, navigator, insurance producer,
5.17or other entity in the business of selling items or services of significant value to or through
5.18the Minnesota Insurance Marketplace. No member of the board may currently serve as a
5.19lobbyist, as defined under section 10A.01, subdivision 21.
5.20    Subd. 5. Acting chair; first meeting; supervision. (a) The governor shall designate
5.21as acting chair one of the appointees described in subdivision 2.
5.22(b) The board shall hold its first meeting within 60 days of enactment.
5.23(c) The board shall elect a chair to replace the acting chair at the first meeting.
5.24    Subd. 6. Chair. The board shall have a chair, elected by a majority of members.
5.25The chair shall serve for one year.
5.26    Subd. 7. Officers. The members of the board shall elect officers by a majority of
5.27members. The officers shall serve for one year.
5.28    Subd. 8. Vacancies. If a vacancy occurs for a board seat that was appointed
5.29by the governor, the governor shall appoint a new member within 90 days, and the
5.30newly appointed member shall be subject to the same confirmation process described in
5.31subdivision 2.
5.32    Subd. 9. Removal. A board member may be removed by the board only for cause,
5.33following notice, hearing, and a two-thirds vote of the board. A conflict of interest as
5.34defined in subdivision 4 shall be cause for removal from the board.
5.35    Subd. 10. Meetings. The board shall meet at least quarterly.
6.1    Subd. 11. Quorum. A majority of the members of the board constitutes a quorum,
6.2and the affirmative vote of a majority of members of the board is necessary and sufficient
6.3for action taken by the board.
6.4    Subd. 12. Compensation. Board members may be compensated according to
6.5section 15.0575.
6.6    Subd. 13. Advisory committees. (a) The board may establish, as necessary,
6.7advisory committees to gather information related to the operation of the Minnesota
6.8Insurance Marketplace.
6.9(b) Section 15.0597 shall not apply to any advisory committee established by the
6.10board.

6.11    Sec. 6. [62V.05] RESPONSIBILITIES AND POWERS OF THE MINNESOTA
6.12INSURANCE MARKETPLACE.
6.13    Subdivision 1. General. (a) The board shall operate the Minnesota Insurance
6.14Marketplace according to this chapter and applicable state and federal law.
6.15(b) The board has the power to:
6.16(1) employ personnel and delegate administrative, operational, and other
6.17responsibilities to the director and other personnel as deemed appropriate by the board.
6.18This authority is subject to chapters 43A and 179A. The director and managerial staff of
6.19the Minnesota Insurance Marketplace shall serve in the unclassified service and shall be
6.20governed by a compensation plan prepared by the board, submitted to the commissioner
6.21of management and budget for review and comment within 14 days of its receipt, and
6.22approved by the Legislative Coordinating Commission and the legislature under section
6.233.855, except that section 15A.0815, subdivision 5, paragraph (e), shall not apply;
6.24(2) establish the budget of the Minnesota Insurance Marketplace;
6.25(3) seek and accept money, grants, loans, donations, materials, services, or
6.26advertising revenue from government agencies, philanthropic organizations, and public
6.27and private sources to fund the operation of the Minnesota Insurance Marketplace;
6.28(4) contract for the receipt and provision of goods and services;
6.29(5) enter into information-sharing agreements with federal and state agencies and
6.30other entities, provided the agreements include adequate protections with respect to
6.31the confidentiality and integrity of the information to be shared, and comply with all
6.32applicable state and federal laws, regulations, and rules, including the requirements of
6.33section 62V.06; and
6.34(6) take any other actions reasonably required to implement and administer its
6.35responsibilities.
7.1(c) The board shall establish policies and procedures to gather public comment and
7.2provide public notice in the State Register.
7.3(d) Within 180 days of enactment, the board shall establish bylaws, policies,
7.4and procedures governing the operations of the Minnesota Insurance Marketplace in
7.5accordance with this chapter.
7.6(e) If the board's policies, procedures, or other statements are rules, as defined in
7.7section 14.02, subdivision 4, the following requirements apply:
7.8(1) the board shall publish proposed rules in the State Register;
7.9(2) interested parties have 30 days to comment on the proposed rules. The board
7.10must consider comments it receives. After the board has considered all comments, the
7.11board shall publish notice in the State Register that the rules have been adopted 30 days
7.12before they are to take effect; and
7.13(3) if the adopted rules are the same as the proposed rules, the notice shall state that
7.14the rules have been adopted as proposed and shall cite the prior publication. If the adopted
7.15rules differ from the proposed rules, the portions of the adopted rules that differ from the
7.16proposed rules shall be included in the notice of adoption, together with a citation to the
7.17prior State Register that contained the notice of the proposed rules.
7.18    Subd. 2. Operations funding. (a) Beginning January 1, 2015, the board may
7.19retain or collect up to 3.5 percent of premiums for individual market and small group
7.20market health benefit plans sold through the Minnesota Insurance Marketplace to fund
7.21the operations of the Minnesota Insurance Marketplace, including related expenditures
7.22incurred by other state agencies.
7.23(b) Prior to January 1, 2015, the Minnesota Insurance Marketplace shall retain or
7.24collect 3.5 percent of total premiums for individual market and small group market health
7.25benefit plans sold through the Minnesota Insurance Marketplace to fund the operations
7.26of the Minnesota Insurance Marketplace, including related expenditures incurred by
7.27other state agencies.
7.28    Subd. 3. Insurance producers. (a) The board, in consultation with the
7.29commissioner of commerce, shall establish minimum standards for certifying insurance
7.30producers who may sell health benefit plans through the Minnesota Insurance Marketplace.
7.31Producers must complete four hours of training in order to receive certification.
7.32Certification and training shall be administered by the commissioner of commerce, and the
7.33training required under this section shall qualify as continuing education required under
7.34chapter 60K. In order to remain certified under this subdivision, insurance producers
7.35must comply with all applicable certification requirements, including the requirements
7.36established under paragraphs (d) and (e).
8.1(b) Producer compensation shall be established by health carriers that provide health
8.2benefit plans through the Minnesota Insurance Marketplace. Compensation to producers
8.3must be equivalent for health benefit plans sold through the marketplace or outside the
8.4marketplace.
8.5(c) Each health carrier that offers or sells health benefit plans through the Minnesota
8.6Insurance Marketplace shall report in writing to the marketplace on a quarterly basis the
8.7compensation and other incentives it offers or provides to its insurance producers with
8.8regard to each type of health benefit plan the health carrier offers or sells both inside and
8.9outside the marketplace.
8.10(d) An insurance producer that offers health benefits plans for the small group
8.11market in the marketplace shall not discourage an employer from choosing to offer its
8.12employees a defined contribution type of group health benefit plan.
8.13(e) An insurance producer that offers health benefit plans through the Minnesota
8.14Insurance Marketplace shall disclose to prospective purchasers, at the time of the insurance
8.15producer's first contact with the prospective purchaser, the health carriers for which the
8.16insurance producer is authorized to sell health benefit plans through the exchange.
8.17    Subd. 4. Navigator; in-person assisters; call center. (a) The board may establish
8.18policies and procedures for the ongoing operation of a navigator program, in-person
8.19assister program, call center, and customer service provisions for the Minnesota Insurance
8.20Marketplace to be implemented beginning January 1, 2015. The policies and procedures
8.21must require that a person complete at least eight hours of training specific to helping
8.22people obtain insurance through the exchange before working as an in-person assister or
8.23before working as or on behalf of a navigator directly with people seeking insurance
8.24through the exchange.
8.25(b) Until the implementation of the policies and procedures described in paragraph
8.26(a), the following shall be in effect:
8.27(1) the navigator program shall be fulfilled through section 256.962;
8.28(2) entities eligible to be navigators, including insurance producers, Indian tribes and
8.29organizations, and counties may serve as in-person assisters;
8.30(3) the board shall establish requirements and compensation for the in-person
8.31assister program within 30 days of enactment. Compensation for in-person assisters
8.32must take into account any other compensation received by the in-person assister for
8.33conducting the same or similar services; and
8.34(4) call center operations shall utilize existing state resources and personnel,
8.35including referrals to counties for medical assistance.
9.1(c) The board shall establish a toll-free number for the Minnesota Insurance
9.2Marketplace and may hire and contract for additional resources as deemed necessary.
9.3    Subd. 5. Health carrier requirements; participation. (a) Beginning January 1,
9.42015, the board shall have the power to establish certification requirements for health
9.5carriers and health benefit plans offered through the Minnesota Insurance Marketplace
9.6unless by June 1, 2013, the legislature enacts regulatory requirements that:
9.7(1) apply uniformly to all health carriers and health benefit plans in the individual
9.8market;
9.9(2) apply uniformly to all health carriers and health benefit plans in the small
9.10group market; and
9.11(3) satisfy federal certification requirements for the Minnesota Insurance
9.12Marketplace.
9.13(b) The board has the power to select health carriers and health benefit plans for
9.14participation in the Minnesota Insurance Marketplace from the health carriers and health
9.15benefit plans that have met certification requirements. In the selection process, the board
9.16shall seek to contract with health carriers and health benefit plans so as to provide
9.17health coverage choices that offer the optimal combination of choice, value, quality, and
9.18service. Selection must be determined in the best interests of the individual consumers
9.19and employers and within federal requirements. In determining the best interests, the
9.20board shall consider:
9.21(1) affordability and value;
9.22(2) promotion of high-quality care;
9.23(3) promotion of prevention and wellness;
9.24(4) ensuring access to care;
9.25(5) alignment and coordination with state agency and private sector purchasing
9.26strategies and payment reform efforts; and
9.27(6) other criteria that the board determines appropriate.
9.28(c) For health benefit plans offered through the Minnesota Insurance Marketplace
9.29beginning January 1, 2015, health carriers must use the most current addendum for Indian
9.30health care providers approved by Centers for Medicare and Medicaid Services and the
9.31tribes as part of their contracts with Indian health care providers.
9.32    Subd. 6. Appeals. (a) The board may conduct hearings, appoint hearing officers,
9.33and recommend final orders related to appeals of any Minnesota Insurance Marketplace
9.34determinations, except for those determinations identified in paragraph (d). An appeal
9.35by a health carrier regarding a specific certification or selection determination made by
9.36the Minnesota Insurance Marketplace under subdivision 5, paragraph (a) or (b), must be
10.1conducted as a contested case proceeding under chapter 14, with the report or order of
10.2the administrative law judge constituting the final decision in the case, subject to judicial
10.3review under sections 14.63 to 14.69. For other appeals, the board shall establish hearing
10.4processes which provide for a reasonable opportunity to be heard and timely resolution of
10.5the appeal and which are consistent with the requirements of federal law and guidance.
10.6An appealing party may be represented by legal counsel at these hearings, but this is
10.7not a requirement.
10.8(b) The Minnesota Insurance Marketplace may establish service-level agreements
10.9with state agencies to conduct hearings for appeals. Notwithstanding section 471.59,
10.10subdivision 1, a state agency is authorized to enter into service-level agreements for this
10.11purpose with the Minnesota Insurance Marketplace.
10.12(c) For proceedings under this subdivision, the Minnesota Insurance Marketplace may
10.13be represented by an attorney who is an employee of the Minnesota Insurance Marketplace.
10.14(d) This subdivision does not apply to appeals of determinations where a state
10.15agency hearing is available under section 256.045.
10.16    Subd. 7. Agreements; consultation. (a) The board shall:
10.17(1) establish and maintain an agreement with the chief information officer of
10.18the Office of Enterprise Technology for information technology services that ensures
10.19coordination with exchange enrollment public health care programs. The board may
10.20establish and maintain agreements with the chief information officer of the Office of
10.21Enterprise Technology for other information technology services, including an agreement
10.22that would permit the Minnesota Insurance Marketplace to administer eligibility
10.23for additional health care and public assistance programs under the authority of the
10.24commissioner of human services;
10.25(2) establish and maintain an agreement with the commissioner of human services
10.26for cost allocation and services regarding eligibility determinations and enrollment for
10.27exchange enrollment public health care programs. The board may establish and maintain
10.28an agreement with the commissioner of human services for other services;
10.29(3) establish and maintain an agreement with the commissioners of commerce
10.30and health for services regarding enforcement of Minnesota Insurance Marketplace
10.31certification requirements for health benefit plans offered through the Minnesota Insurance
10.32Marketplace. The board may establish and maintain agreements with the commissioners
10.33of commerce and health for other services; and
10.34(4) establish interagency agreements to transfer funds to other state agencies for their
10.35costs related to implementing and operating the Minnesota Insurance Marketplace.
11.1(b) The board shall consult with the commissioners of commerce and health
11.2regarding the operations of the Minnesota Insurance Marketplace.
11.3(c) The board shall consult with Indian tribes and organizations regarding the
11.4operation of the Minnesota Insurance Marketplace.
11.5(d) The board shall establish an advisory committee consisting of representatives
11.6from the health care industry, consumers, and other stakeholders to provide information
11.7and advise the board on the operations of the Minnesota Insurance Marketplace.
11.8    Subd. 8. Limitations; risk-bearing. (a) The board shall not bear insurance risk or
11.9enter into any agreement with health care providers to pay claims.
11.10(b) Nothing in this subdivision shall prevent the Minnesota Insurance Marketplace
11.11from providing insurance for its employees.

11.12    Sec. 7. [62V.06] DATA PRACTICES.
11.13    Subdivision 1. Applicability. The Minnesota Insurance Marketplace is a state
11.14agency for purposes of the Minnesota Government Data Practices Act and is subject to all
11.15provisions of chapter 13, in addition to the requirements contained in this section.
11.16    Subd. 2. General data classifications. The following data collected, created, or
11.17maintained by the Minnesota Insurance Marketplace (Marketplace) are classified as
11.18private data on individuals, as defined in section 13.02, subdivision 12, or nonpublic data,
11.19as defined in section 13.02, subdivision 9:
11.20(1) data on any individual participant in the Marketplace;
11.21(2) data on employees of an employer participating in the Marketplace; and
11.22(3) data on employers participating in the Marketplace.
11.23    Subd. 3. Application and certification data. (a) Data submitted by an insurance
11.24producer in an application for certification to sell a health benefit plan through the
11.25Marketplace, or submitted by an applicant seeking permission or a commission to act as a
11.26navigator or in-person assister, are classified as follows:
11.27(1) at the time the application is submitted, all data contained in the application are
11.28private data, as defined in section 13.02, subdivision 12, or nonpublic data as defined in
11.29section 13.02, subdivision 9, except that the name of the applicant is public; and
11.30(2) upon a final determination related to the application for certification by the
11.31Marketplace, all data contained in the application are public, with the exception of trade
11.32secret data as defined in section 13.37.
11.33(b) Data created or maintained by a government entity as part of the evaluation of
11.34an application are protected nonpublic data, as defined in section 13.02, subdivision 13,
11.35until a final determination as to certification is made and all rights of appeal have been
12.1exhausted. Upon a final determination and exhaustion of all rights of appeal, these data are
12.2public, with the exception of trade secret data as defined in section 13.37 and data subject
12.3to attorney-client privilege or other protection as provided in section 13.393.
12.4(c) If an application is denied, the public data must include the criteria used by the
12.5board to evaluate the application and the specific reasons for the denial, and these data
12.6must be published on the Marketplace Web site.
12.7    Subd. 4. Data sharing. (a) The Minnesota Insurance Marketplace may share or
12.8disseminate data classified as private or nonpublic in subdivisions 2 and 3 as follows:
12.9(1) to the subject of the data, as provided in section 13.04;
12.10(2) with other state or federal agencies, only to the extent necessary to carry out the
12.11functions of the Marketplace, provided that the Marketplace must enter into a data-sharing
12.12agreement with the agency prior to sharing data under this clause; and
12.13(3) with a nongovernmental person or entity, only to the extent necessary to carry
12.14out the functions of the Marketplace, provided that the Marketplace must enter a contract
12.15with the person or entity, as provided in section 13.05, subdivision 6 or 11, prior to
12.16disseminating data under this clause.
12.17(b) Sharing or disseminating data outside of the exchange in a manner not authorized
12.18by this subdivision is prohibited. The list of authorized dissemination and sharing
12.19contained in this subdivision must be included in the Tennessen warning required by
12.20section 13.04, subdivision 2.
12.21(c) State agencies must share data classified as private or nonpublic in subdivisions 2
12.22and 3 with the Marketplace, to the extent the data is necessary to verify the identity of,
12.23determine the eligibility of, process premiums for, process enrollment of, or investigate
12.24fraud related to a Marketplace participant. The Marketplace must enter into a data-sharing
12.25agreement with the agency prior to sharing any data under this paragraph.
12.26    Subd. 5. Notice and disclosures. (a) In addition to the Tennessen warning required
12.27by section 13.04, subdivision 2, the Marketplace must provide any data subject asked to
12.28supply private data with:
12.29(1) a notice of rights related to the handling of genetic information, pursuant to
12.30section 13.386; and
12.31(2) a notice of the records retention policy of the Marketplace, detailing the length of
12.32time the Marketplace will retain data on the individual and the manner in which it will
12.33be destroyed upon expiration of that time.
12.34(b) All notices required by this subdivision, including the Tennessen warning, must
12.35be provided in an electronic format suitable for downloading or printing.
13.1    Subd. 6. Summary data. In addition to creation and disclosure of summary data
13.2derived from private data on individuals, as permitted by section 13.05, subdivision 7,
13.3the Marketplace may create and disclose summary data derived from data classified as
13.4nonpublic under this section.
13.5    Subd. 7. Access to data; audit trail. (a) Only individuals with explicit authorization
13.6from the board may enter, update, or access not public data collected, created, or
13.7maintained by the Marketplace. The ability of authorized individuals to enter, update,
13.8or access data must be limited through the use of purpose codes that correspond to the
13.9official duties or training level of the individual, and the statutory authorization that
13.10grants access for that purpose. All queries and responses, and all actions in which data
13.11are modified, accessed, or disseminated by authorized individuals, must be recorded in
13.12a data audit trail. Data contained in the audit trail are public, to the extent that the data
13.13are not otherwise classified by this section.
13.14(b) This subdivision shall not limit or affect the authority of the legislative auditor to
13.15access data needed to conduct audits, evaluations, or investigations of the Marketplace
13.16or the obligation of the board and Marketplace employees to comply with section 3.978,
13.17subdivision 2.
13.18    Subd. 8. Sale of data prohibited. The Marketplace may not sell any data collected,
13.19created, or maintained by the Marketplace, regardless of its classification, for commercial
13.20or any other purposes.

13.21    Sec. 8. [62V.07] FUNDS.
13.22All funds received by the Minnesota Insurance Marketplace must be deposited in
13.23a dedicated fund which may earn interest and for the fiscal year ending June 30, 2014,
13.24are appropriated to the Minnesota Insurance Marketplace for the purpose for which the
13.25funds were received.

13.26    Sec. 9. [62V.08] REPORT.
13.27(a) The Minnesota Insurance Marketplace shall submit a report to the legislature by
13.28January 15, 2015, and each January 15 thereafter, on: (1) the performance of Minnesota
13.29Insurance Marketplace operations; (2) meeting the Minnesota Insurance Marketplace
13.30responsibilities; and (3) an accounting of the Minnesota Insurance Marketplace budget
13.31activities.
13.32(b) The exchange must publish the administrative and operational costs of the
13.33exchange on a Web site to educate consumers on those costs. The information published
13.34must include the amount of premiums and federal premium subsidies collected by the
14.1exchange; the amount and source of revenue received under section 62V.05, subdivision
14.21, paragraph (b), clause (3); the amount and source of any other fees collected by the
14.3exchange for purposes of supporting its operations; and any misuse of funds as identified
14.4in accordance with section 3.975. The Web site must be updated at least annually.

14.5    Sec. 10. [62V.09] EXPIRATION AND SUNSET EXCLUSION.
14.6Notwithstanding Minnesota Statutes, section 15.059, the Minnesota Insurance
14.7Marketplace Act shall not expire. The board is not subject to review or sunsetting under
14.8Minnesota Statutes, chapter 3D.

14.9    Sec. 11. [62V.10] RIGHT NOT TO PARTICIPATE.
14.10Nothing in this chapter infringes on the right of a Minnesota citizen not to participate
14.11in the Minnesota Insurance Marketplace.

14.12    Sec. 12. TRANSITION OF AUTHORITY.
14.13(a) Upon the effective date of this act, the commissioner of management and budget
14.14shall exercise all authorities and responsibilities under Minnesota Statutes, sections
14.1562V.03 and 62V.05 until the board has satisfied the requirements of Minnesota Statutes,
14.16section 62V.05, subdivision 1, paragraph (d).
14.17(b) Upon the establishment of bylaws, policies, and procedures governing the
14.18operations of the Minnesota Insurance Marketplace by the board as required under
14.19Minnesota Statutes, section 62V.05, subdivision 1, paragraph (d), all personnel, assets,
14.20contracts, obligations, and funds managed by the commissioner of management and
14.21budget for the design and development of the Minnesota Insurance Marketplace shall be
14.22transferred to the board. Existing personnel managed by the commissioner of management
14.23and budget for the design and development of the Minnesota Insurance Marketplace shall
14.24staff the board upon enactment.

14.25    Sec. 13. MINNESOTA COMPREHENSIVE HEALTH INSURANCE
14.26TERMINATION.
14.27The commissioner of commerce, in consultation with the board of directors of the
14.28Minnesota Comprehensive Health Insurance Association, has the authority to develop and
14.29implement the phase out and eventual termination of coverage provided by the Minnesota
14.30Comprehensive Health Insurance Association under Minnesota Statutes, chapter 62E. The
14.31phase out of coverage shall begin no sooner than January 1, 2014.

15.1    Sec. 14. EFFECTIVE DATE.
15.2Sections 1 to 13 are effective the day following final enactment. Any actions taken
15.3by any state agencies in furtherance of the design, development, and implementation of the
15.4Minnesota Insurance Marketplace prior to the effective date shall be considered actions
15.5taken by the Minnesota Insurance Marketplace and shall be governed by the provisions of
15.6this chapter and state law. Health benefit plan coverage through the Minnesota Insurance
15.7Marketplace is effective January 1, 2014.