Minnesota Legislature
HF 548
1st Unofficial Engrossment - 85th Legislature (2007 - 2008) Posted on 12/15/2009 12:00am
KEY: stricken = removed, old language.
underscored = added, new language.
1.2relating to government operations; appropriating money for general legislative
1.3and administrative expenses of state government; regulating state and local
1.4government operations; directing the Legislative Coordinating Commission
1.5to assist in fostering an understanding of ethnic and cultural diversity and
1.6assist in issues related to preparedness for terrorism and disasters; creating
1.7the position of poet laureate; imposing a temporary technology surcharge;
1.8establishing provisions for grants management; requiring a state Web site with
1.9a searchable database on state contracts and grants; promoting use of persons
1.10with disabilities for document imaging services; modifying secretary of state
1.11provisions; creating a state employees electronic health records pilot project;
1.12creating a sustainable growth working group; abolishing the Department of
1.13Employee Relations and transferring duties; establishing a state budget trends
1.14study commission; requiring best value contracts and procurement for certain
1.15purposes; requiring reports; amending Minnesota Statutes 2006, sections
1.163.303, by adding subdivisions; 4.035, subdivision 3; 5.12, subdivision 1;
1.1715.06, subdivision 2; 15B.17, subdivision 1; 16A.102, subdivision 4; 16A.103,
1.18subdivision 1e; 16A.1286, subdivision 2; 16A.695, subdivisions 2, 3, by
1.19adding subdivisions; 16B.055, subdivision 1; 16B.24, subdivision 5; 16B.35,
1.20subdivision 1; 16C.02, subdivisions 4, 12, 14, by adding subdivisions; 16C.03,
1.21subdivisions 2, 3, 4, 8, 16, by adding subdivisions; 16C.05, subdivisions 1,
1.222; 16C.08, subdivisions 2, 4, by adding subdivisions; 16C.10, subdivision
1.237; 16C.16, subdivision 5; 16C.26; 16C.27, subdivision 1; 16C.28; 43A.08,
1.24subdivision 2a; 43A.346, subdivision 1; 103D.811, subdivision 3; 103E.505,
1.25subdivision 5; 116A.13, subdivision 5; 123B.52, subdivision 1, by adding a
1.26subdivision; 160.17, by adding a subdivision; 160.262, by adding a subdivision;
1.27161.1419, subdivision 8; 161.32, by adding a subdivision; 161.3412, subdivision
1.281; 161.38, subdivision 4; 270B.14, by adding a subdivision; 270C.03, subdivision
1.291; 302A.821, subdivision 4; 308A.995, subdivision 4; 308B.121, subdivision
1.304; 308B.215, subdivision 2; 317A.823, subdivision 1; 321.0206; 321.0210;
1.31323A.1003; 336.1-110; 336.9-516; 336.9-525; 358.41; 358.42; 358.50; 359.085,
1.32subdivisions 2, 3; 365.37, by adding a subdivision; 374.13; 375.21, by adding
1.33a subdivision; 383C.094, by adding a subdivision; 412.311; 429.041, by
1.34adding a subdivision; 458D.21, by adding a subdivision; 469.015, by adding
1.35a subdivision; 469.068, subdivision 1, by adding a subdivision; 469.101, by
1.36adding a subdivision; 471.345, subdivision 5, by adding subdivisions; 473.523,
1.37by adding a subdivision; 473.756, subdivision 12; 477A.014, subdivision 4;
1.38491A.02, subdivision 4; 507.24, subdivision 2; 517.08, subdivisions 1b, 1c; Laws
1.392005, chapter 156, article 2, section 45; Laws 2006, chapter 253, section 22,
2.1subdivision 1; Laws 2006, chapter 282, article 14, section 5; proposing coding
2.2for new law in Minnesota Statutes, chapters 4; 5; 11A; 13; 16B; 16C; 161; 270C;
2.3308B; 321; repealing Minnesota Statutes 2006, sections 16A.102, subdivisions 1,
2.42, 3; 16B.055, subdivisions 2, 3; 16C.055, subdivision 1; 16C.08, subdivision
2.54a; 69.051, subdivision 1c; 359.085, subdivision 8.
2.6BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
2.10 The amounts shown in this section summarize direct appropriations, by fund, made
2.11in this article.
2.25 The sums shown in the columns marked "appropriations" are appropriated to the
2.26agencies and for the purposes specified in this article. The appropriations are from the
2.27general fund, or another named fund, and are available for the fiscal years indicated
2.28for each purpose. The figures "2008" and "2009" used in this article mean that the
2.29appropriations listed under them are available for the fiscal year ending June 30, 2008, or
2.30June 30, 2009, respectively. "The first year" is fiscal year 2008. "The second year" is fiscal
2.31year 2009. "The biennium" is fiscal years 2008 and 2009.
3.5The amounts that may be spent for each
3.6purpose are specified in the following
3.7subdivisions.
3.10During the biennium ending June 30, 2009,
3.11any revenues received by the house of
3.12representatives from sponsorship notices in
3.13broadcast or print media are appropriated to
3.14the house of representatives.
3.19(a) $5,624,000 the first year and $5,469,000
3.20the second year are for the Office of the
3.21Revisor of Statutes.
3.22(b) $1,257,000 the first year and $1,254,000
3.23the second year are for the Legislative
3.24Reference Library.
3.25(c) $5,719,000 the first year and $5,720,000
3.26the second year are for the Office of the
3.27Legislative Auditor.
3.28(d) $750,000 the first year is to the
3.29Legislative Coordinating Commission
3.30for a facilitated planning process relating
3.31to the Capitol building and the Capitol
3.32campus. The process must be conducted
3.33in cooperation with the Capitol Area
3.34Architectural and Planning Board and the
4.1commissioner of administration, and must
4.2include consideration of issues relating to
4.3renovation and possible expansion of the
4.4Capitol building, phasing strategies relating
4.5to renovation of the Capitol, and related
4.6campus planning issues. The process must
4.7include consideration of as many options as
4.8feasible relating to renovation of the Capitol
4.9and related campus buildings. The process
4.10must be completed by September 30, 2007.
4.11(e) All legislative offices should, whenever
4.12possible, implement information technology
4.13systems that are compatible and work
4.14seamlessly across the legislature. Wherever
4.15possible, single systems should be
4.16implemented to avoid unnecessary
4.17duplication and inefficiency. The directors
4.18of information technology for the senate,
4.19house of representatives, and the Legislative
4.20Coordinating Commission must submit
4.21a written report describing their efforts
4.22to collaborate on implementing shared
4.23information technology systems. The report
4.24must be submitted to the chairs of the house
4.25of representatives and senate committees
4.26with jurisdiction over rules and to the
4.27Legislative Coordinating Commission on
4.28January 15, 2008, and January 15, 2009.
4.31(a) This appropriation is to fund the Office of
4.32the Governor and Lieutenant Governor.
4.33$19,000 the first year and $19,000 the
4.34second year are for necessary expenses in
4.35the normal performance of the governor's
5.1and lieutenant governor's duties for which no
5.2other reimbursement is provided.
5.3(b) By September 1 of each year, the
5.4commissioner of finance shall report to
5.5the chairs of the senate Governmental
5.6Operations Budget Division and the house
5.7State Government Finance Division any
5.8personnel costs incurred by the Office of
5.9the Governor and Lieutenant Governor that
5.10were supported by appropriations to other
5.11agencies during the previous fiscal year.
5.12The Office of the Governor shall inform the
5.13chairs of the divisions before initiating any
5.14interagency agreements.
5.29(a) $310,000 of this appropriation must be
5.30transferred to the Help America Vote Act
5.31account and is designated as a portion of the
5.32match required by section 253(b)(5) of the
5.33Help America Vote Act.
6.1(b) $2,844,000 the first year is appropriated
6.2from the Help America Vote Act account for
6.3the purposes and uses authorized by federal
6.4law. This appropriation is available until
6.5June 30, 2009.
6.6(c) Notwithstanding Laws 2005, chapter
6.7162, section 34, subdivision 7, any balance
6.8remaining in the Help America Vote Act
6.9account after previous appropriations and the
6.10appropriations in this section is appropriated
6.11to the secretary of state for the purposes of
6.12the account. This appropriation is available
6.13until June 30, 2011.
6.19(a) $2,000,000 the first year is for the first
6.20phase of an electronic licensing system.
6.21This is a onetime appropriation. This
6.22appropriation carries forward to the second
6.23year.
6.24(b) $3,910,000 the first year and $3,910,000
6.25the second year are for information
6.26technology security. The base appropriation
6.27is $2,682,000 in fiscal year 2010 and
6.28$2,682,000 in fiscal year 2011.
6.29(c) $1,000,000 the first year is for select small
6.30agency technology infrastructure projects.
6.31(d) $68,000 the first year is for an electronic
6.32documents study and report.
7.1(e) $200,000 the first year is for grants to be
7.2distributed to the counties participating in
7.3the development of the integrated financial
7.4system for enhancements to the system.
7.5Enhancements include:
7.6(1) systems to improve the tracking and
7.7reporting of state and federal grants;
7.8(2) electronic payments to vendors;
7.9(3) electronic posting of state payments to
7.10the financial system;
7.11(4) automating revenue collection and
7.12posting through check conversion, automatic
7.13clearing house transactions, or credit card
7.14processing;
7.15(5) improvements to county budgetary
7.16systems;
7.17(6) storage or linkage of electronic
7.18documents;
7.19(7) improved executive level reporting and
7.20extraction of data; and
7.21(8) improved information and reporting for
7.22audits.
7.23The grant funds shall be distributed on a pro
7.24rata basis to each of the counties participating
7.25in the development of the integrated financial
7.26system. The Minnesota Counties Computer
7.27Cooperative, acting as a fiscal agent for
7.28the participating counties, shall receive the
7.29grant money for the counties. The grants
7.30will only be distributed after $600,000 is
7.31expended or provided from other sources.
7.32The chief information officer may require
7.33a report or such other information as the
7.34chief information officer deems appropriate
8.1to verify that the requirements of this
8.2section have been met. This appropriation
8.3is available until June 30, 2011, and cancels
8.4on that date.
8.5The chief information officer shall report to
8.6the legislative committees and divisions with
8.7jurisdiction over state government policy
8.8and finance and economic development
8.9programs.
8.18The amounts that may be spent for each
8.19purpose are specified in the following
8.20subdivisions.
8.22(a) $7,888,000 the first year and $7,888,000
8.23the second year are for office space costs of
8.24the legislature and veterans organizations,
8.25for ceremonial space, and for statutorily free
8.26space.
8.27(b) $2,500,000 the first year is to purchase
8.28and implement a Web-enabled, shared
8.29computer system to facilitate the state's real
8.30property portfolio management.
8.31(c) $885,000 the first year is for onetime
8.32funding of agency relocation expenses for
8.33the Department of Public Safety.
9.2(a) $60,000 the first year and $240,000 the
9.3second year are to fund activities to prepare
9.4for and promote the 2010 census. Base
9.5funding for this activity is $260,000 in fiscal
9.6year 2010 and $180,000 in fiscal year 2011.
9.7(b) $1,100,000 the first year and $1,100,000
9.8the second year are for the Land Management
9.9Information Center.
9.10(c) $196,000 the first year and $196,000 the
9.11second year are for the Office of the State
9.12Archaeologist.
9.13(d) $89,000 the first year is for the genetic
9.14information work group and report. This
9.15appropriation is available until June 30, 2009.
9.17(a) $125,000 the first year is to create an
9.18Office of Grants Management to standardize
9.19state grants management policies and
9.20procedures. For the fiscal year beginning
9.21July 1, 2008, the commissioner must
9.22deduct up to $125,000 from state grants
9.23to nongovernmental entities, as necessary
9.24to fund the commissioner's duties under
9.25new Minnesota Statutes, sections 16B.97
9.26and 16B.98. The amount deducted from
9.27appropriations for these grants is transferred
9.28to the commissioner for purposes of
9.29administering these sections.
9.30(b) $250,000 the first year and $250,000
9.31the second year are to establish a small
9.32agency resource team to consolidate and
9.33streamline the human resources and financial
10.1management activities for small state
10.2agencies, boards, and councils.
10.3(c) $700,000 the first year is a onetime
10.4appropriation for a targeted group business
10.5disparity study. The commissioner
10.6must cooperate with units of local
10.7government conducting similar studies. The
10.8commissioner shall ensure that the results of
10.9the study are kept current and that any new or
10.10upgraded accounting or procurement systems
10.11properly record purchases from minority and
10.12female-owned businesses through the use of
10.13state contracts, and the availability of bids
10.14from those businesses.
10.15(d) $74,000 the first year and $74,000
10.16the second year are for the Council on
10.17Developmental Disabilities.
10.18(e) $250,000 in fiscal year 2008 and $250,000
10.19in fiscal year 2009 are for a grant to the
10.20Council on Developmental Disabilities
10.21for the purpose of establishing a statewide
10.22self-advocacy network for persons with
10.23intellectual and developmental disabilities
10.24(ID/DD). The self-advocacy network shall:
10.25(1) ensure that persons with ID/DD are
10.26informed of their rights in employment,
10.27housing, transportation, voting, government
10.28policy, and other issues pertinent to the
10.29ID/DD community;
10.30(2) provide public education and awareness
10.31of the civil and human rights issues persons
10.32with ID/DD face;
10.33(3) provide funds, technical assistance, and
10.34other resources for self-advocacy groups
10.35across the state; and
11.1(4) organize systems of communications
11.2to facilitate an exchange of information
11.3between self-advocacy groups.
11.4This appropriation is in addition to any other
11.5appropriations and must be added to the base
11.6appropriation beginning in fiscal year 2010.
11.7(f) $75,000 is for purposes of promotion
11.8of document imaging work in government
11.9agencies to be done by persons with
11.10developmental disabilities.
11.12$1,000,000 is for a grant to Washington
11.13County for capital improvements detailed
11.14in the approved planned unit development
11.15for the Disabled Veteran's Rest Camp to
11.16provide increased capacity, amenities, access,
11.17and safety for Minnesota veterans. This
11.18appropriation is available until spent.
11.20(a) $9,750,000 is for grants to noncommercial
11.21television stations to assist with the continued
11.22conversion to a digital broadcast signal as
11.23mandated by the federal government. This
11.24appropriation must be used to assist each
11.25station to complete its digital production
11.26facilities and interconnect with other
11.27Minnesota public television stations. In
11.28order to qualify for these grants, a station
11.29must meet the criteria established for grants
11.30in Minnesota Statutes, section 129D.12,
11.31subdivision 2.
11.32(b) $3,000,000 is for grants to Minnesota
11.33Public Radio to assist with conversion to a
11.34digital broadcast signal.
12.1(c) $2,263,000 the first year and $963,000
12.2the second year are for matching grants for
12.3public television.
12.4(d) $398,000 the first year and $398,000
12.5the second year are for public television
12.6equipment grants. Equipment or matching
12.7grant allocations shall be made after
12.8considering the recommendations of the
12.9Minnesota Public Television Association.
12.10(e) $17,000 the first year and $17,000 the
12.11second year are for grants to the Twin Cities
12.12regional cable channel.
12.13(f) $413,000 in fiscal year 2008 and $287,000
12.14in fiscal year 2009 are for community service
12.15grants to public educational radio stations.
12.16(g) $400,000 in fiscal year 2008 and $100,000
12.17in fiscal year 2009 are for equipment grants
12.18to public educational radio stations.
12.19(h) The grants in paragraphs (f) and (g)
12.20must be allocated after considering the
12.21recommendations of the Association of
12.22Minnesota Public Educational Radio Stations
12.23under Minnesota Statutes, section 129D.14.
12.24(i) $830,000 the first year and $190,000
12.25the second year are for equipment grants to
12.26Minnesota Public Radio, Inc.
12.27(j) Any unencumbered balance remaining the
12.28first year for grants to public television or
12.29radio stations does not cancel and is available
12.30for the second year.
13.1$65,000 in fiscal year 2008 is for the
13.2decennial expenses related to the board's
13.3duties under Minnesota Statutes, section
13.4473.864, subdivisions 1 and 2. Money
13.5appropriated in fiscal year 2008 is available
13.6until June 30, 2009. This is a onetime
13.7appropriation.
13.10The amounts that may be spent for each
13.11purpose are specified in the following
13.12subdivisions.
13.14$250,000 the first year is for the state's
13.15share of the cost of bankruptcy counsel
13.16representing joint interests of the state and
13.17the city of Duluth in the Northwest Airlines
13.18bankruptcy. This is a onetime appropriation.
13.21$6,319,000 the first year is for costs related to
13.22the Minnesota Accounting and Procurement
13.23System (MAPS).
13.25 $250,000 each year is for the Center for
13.26Health Care Purchasing Improvement. This
13.27is a onetime appropriation.
14.4The amounts that may be spent for each
14.5purpose are specified in subdivisions 2 and 3.
14.13(a) $6,910,000 the first year and $8,704,000
14.14the second year are for additional activities
14.15to identify and collect tax liabilities from
14.16individuals and businesses that currently
14.17do not pay all taxes owed. This initiative
14.18is expected to result in new general fund
14.19revenues of $42,400,000 for the biennium
14.20ending June 30, 2009.
14.21(b) The department must report to the chairs
14.22of the house of representatives Ways and
14.23Means and senate Finance Committees by
14.24March 1, 2008, and January 15, 2009, on the
14.25following performance indicators:
14.26(1) the number of corporations noncompliant
14.27with the corporate tax system each year and
14.28the percentage and dollar amounts of valid
14.29tax liabilities collected;
14.30(2) the number of businesses noncompliant
14.31with the sales and use tax system and the
14.32percentage and dollar amount of the valid tax
14.33liabilities collected; and
15.1(3) the number of individual noncompliant
15.2cases resolved and the percentage and dollar
15.3amounts of valid tax liabilities collected.
15.4(c) The reports must also identify base-level
15.5expenditures and staff positions related to
15.6compliance and audit activities, including
15.7baseline information as of January 1, 2006.
15.8The information must be provided at the
15.9budget activity level.
15.10(d) $10,550,000 the first year is for the
15.11purchase and development of an integrated
15.12tax software package.
15.13(e) $75,000 the first year and $75,000 the
15.14second year are for grants to one or more
15.15nonprofit organizations, qualifying under
15.16section 501(c)(3) of the Internal Revenue
15.17Code of 1986, to coordinate, facilitate,
15.18encourage, and aid in the provision of
15.19taxpayer assistance services. For purposes
15.20of this paragraph, "taxpayer assistance
15.21services" means accounting and tax
15.22preparation services provided by volunteers
15.23to low-income and disadvantaged Minnesota
15.24residents to help them file federal and
15.25state income tax returns and Minnesota
15.26property tax refund claims and may include
15.27providing personal representation before
15.28the Department of Revenue and Internal
15.29Revenue Service.
15.31$1,750,000 the first year and $3,110,000
15.32the second year are for additional activities
15.33to identify and collect tax liabilities from
15.34individuals and businesses that currently
15.35do not pay all taxes owed. This initiative
16.1is expected to result in new general fund
16.2revenues of $60,000,000 for the biennium
16.3ending June 30, 2009.
16.5These appropriations are from the lawful
16.6gambling regulation account in the special
16.7revenue fund.
16.9(a) These appropriations are from racing
16.10and card playing regulation accounts in the
16.11special revenue fund.
16.12(b) $295,000 the first year and $64,000 the
16.13second year and thereafter are for information
16.14technology improvements implemented in
16.15consultation with the Office of Enterprise
16.16Technology as part of the small agency
16.17technology initiative.
16.19Notwithstanding Minnesota Statutes, section
16.20349A.10 , subdivision 3, the operating budget
16.21must not exceed $27,378,000 in fiscal year
16.222008 and $28,141,000 in fiscal year 2009.
16.24To be spent by the commissioner of finance.
16.25If the appropriation for either year is
16.26insufficient, the appropriation for the other
16.27year is available for it.
17.1The amounts that may be spent for each
17.2purpose are specified in the following
17.3subdivisions.
17.5Under Minnesota Statutes, sections 3A.03,
17.6subdivision 2;3A.04 , subdivisions 3 and 4;
17.7and3A.115 .
17.9Under Minnesota Statutes, section 352C.001.
17.10If an appropriation in this section for either
17.11year is insufficient, the appropriation for the
17.12other year is available for it.
17.15These amounts are estimated to be needed
17.16under Minnesota Statutes, section 422A.101,
17.17subdivision 3.
17.20The amounts estimated to be needed are as
17.21follows:
17.30The amounts estimated to be needed for
17.31special direct state aid to first class city
17.32teachers retirement funds authorized under
17.33Minnesota Statutes, section354A.12 ,
17.34subdivisions 3a and 3c.
18.2(a) Of this amount, $67,000 each year is to
18.3be used for an additional event development
18.4position. This is a onetime appropriation.
18.5The base budget for the Amateur Sports
18.6Commission shall be $220,000 in fiscal year
18.72010 and $220,000 in fiscal year 2011.
18.8(b) The amount available for appropriation
18.9to the commission under Laws 2005, chapter
18.10156, article 2, section 43, is reduced in the
18.11first year and the second year by the amounts
18.12appropriated in this section.
18.20(a) $80,000 in the first year is for the
18.21acquisition of an Indian burial site in
18.22Becker County. The Indian Affairs Council
18.23shall solicit donations from federal, state,
18.24nonprofit, private, and tribal sources for this
18.25purpose. This is a onetime appropriation and
18.26is available for expenditure until June 30,
18.272009.
18.28(b) $100,000 in the first year is for transfer to
18.29the director of the Minnesota Office of Higher
18.30Education for a grant for the Dakota/Ojibwe
18.31Language Revitalization Project to expand
18.32an existing pilot project to promote activities
18.33and programs that are specific to promoting
19.1revitalization of indigenous language for
19.2American Indian children who do not live
19.3on an Indian reservation. The pilot project
19.4shall focus on developing programs that
19.5meet the language needs of children in
19.6prekindergarten through grade 12. This is a
19.7onetime appropriation.
19.17(a) The appropriations in this section
19.18may only be spent with the approval of
19.19the governor after consultation with the
19.20Legislative Advisory Commission pursuant
19.21to Minnesota Statutes, section 3.30.
19.22(b) If an appropriation in this section for
19.23either year is insufficient, the appropriation
19.24for the other year is available for it.
19.25(c) If a contingent account appropriation
19.26is made in one fiscal year, it should be
19.27considered a biennial appropriation.
19.28 Sec. 31. MANAGERIAL POSITION REDUCTIONS.
19.29 The governor must reduce the number of deputy commissioners, assistant
19.30commissioners, and positions designated as unclassified under authority of Minnesota
19.31Statutes, section 43A.08, subdivision 1a, by an amount that will generate savings to the
19.32general fund of $7,292,000 in the biennium ending June 30, 2009, and $7,292,000 in the
19.33biennium ending June 30, 2011.
19.34 Sec. 32. BALANCE CARRIED FORWARD.
20.1 Notwithstanding Minnesota Statutes, section 16A.1522, subdivision 4, any positive
20.2unrestricted general fund budgetary balance as of June 30, 2007, is carried forward to the
20.3fiscal year ending June 30, 2008.
20.6 Section 1. Minnesota Statutes 2006, section 3.303, is amended by adding a subdivision
20.7to read:
20.8 Subd. 8. Ethnic heritage and new Americans. The commission shall undertake
20.9activities it determines are necessary to assist state government to foster an understanding
20.10and appreciation of ethnic and cultural diversity in Minnesota, to identify underutilized
20.11resources within the immigrant community, and to facilitate the full participation of
20.12immigrants in social, cultural, and political life in this state. The commission may
20.13appoint a working group under section 3.305, subdivision 6, to assist the commission in
20.14these duties. A working group under this subdivision may include legislators and public
20.15members. The commission may provide compensation for public members as provided
20.16in section 15.0575. In performing duties under this subdivision, the commission shall
20.17collaborate with the councils established in sections 3.9223, 3.9225, and 3.9226. This
20.18subdivision expires June 30, 2009.
20.19 Sec. 2. Minnesota Statutes 2006, section 3.303, is amended by adding a subdivision to
20.20read:
20.21 Subd. 9. Preparedness for terrorism and disasters. The commission shall
20.22undertake activities it determines are necessary to advise the legislature and oversee
20.23executive activities on issues related to homeland security, emergency management,
20.24man-made and natural disasters, terrorism, bioterrorism, public health emergencies, and
20.25vulnerabilities in public and private infrastructures. The commission may appoint a
20.26working group under section 3.305, subdivision 6, to assist the commission in these duties.
20.27A working group under this subdivision may include legislators and public members.
20.28The commission may provide compensation for public members as provided in section
20.2915.0575. This subdivision expires June 30, 2011.
20.30 Sec. 3. Minnesota Statutes 2006, section 4.035, subdivision 3, is amended to read:
20.31 Subd. 3. Expiration date. Unless an earlier date is specified by statute or by
20.32executive order, an executive order shall expire 90 days after the date that the governor
20.33who issued the ordervacates leaves office.
21.1EFFECTIVE DATE.This section is effective the day following final enactment.
21.2 Sec. 4. [4.60] POET LAUREATE.
21.3 (a) The position of poet laureate of the state of Minnesota is established. The
21.4Minnesota Humanities Commission must solicit nominations for the poet laureate
21.5appointment and must make recommendations to the governor. After receiving
21.6recommendations from the Minnesota Humanities Commission, the governor shall
21.7appoint a state poet laureate and conduct appropriate ceremonies to honor the person
21.8appointed. The person appointed as poet laureate continues to serve in this position until
21.9the governor appoints another person.
21.10 (b) State agencies and officers are encouraged to use the services of the poet laureate
21.11for appropriate ceremonies and celebrations.
21.12 Sec. 5. Minnesota Statutes 2006, section 5.12, subdivision 1, is amended to read:
21.13 Subdivision 1. Fees. The secretary of state shall charge a fee of $5 for each
21.14certificate or certification of a copy of any document filed in the Office of the Secretary
21.15of State. The secretary of state shall charge a fee of $3 for a copy of an original filing of
21.16a corporation, limited partnership, assumed name, or trade or service mark, or for the
21.17complete record of a certificate of assumed name. The secretary of state shall charge a
21.18fee of $3 for a copy of any or all subsequent filings of a corporation, limited partnership,
21.19assumed name, or trade or service mark. The secretary of state shall charge a fee of $1 per
21.20page for copies of other nonuniform commercial code documents filed with the secretary of
21.21state. At the time of filing, the secretary of state may provide at the public counter, without
21.22charge, a copy of a filing, ten or fewer pages in length, to the person making the filing.
21.23 Sec. 6. [5.32] TEMPORARY TECHNOLOGY SURCHARGE.
21.24 Subdivision 1. Surcharge. For fiscal years 2008 and 2009, the following technology
21.25surcharges are imposed on the filing fees required under the following statutes:
21.26 (1) $25 for articles of incorporation filed under section 302A.151;
21.27 (2) $25 for articles of organization filed under section 322B.17;
21.28 (3) $25 for applications for certificates of authority to transact business in Minnesota
21.29filed under section 303.06;
21.30 (4) $20 for annual reports filed by non-Minnesota corporations under section
21.31303.14; and
21.32 (5) $50 for reinstatements to authority to transact business in Minnesota filed under
21.33section 303.19.
22.1 Subd. 2. Deposit. The surcharges listed in subdivision 1 shall be deposited into the
22.2uniform commercial code account.
22.3 Subd. 3. Expiration. This section expires June 30, 2009.
22.4 Sec. 7. [11A.27] REPORT ON INVESTMENT CONSULTANT ACTIVITIES
22.5AND DELIVERABLES.
22.6 (a) Annually, on or before November 1, the State Board of Investment shall file a
22.7report with the Legislative Reference Library on the activities and work product during
22.8that year of any investment consultants retained by the board.
22.9 (b) The report must include the following items:
22.10 (1) the total contract fee paid to each investment consultant;
22.11 (2) a listing of the projects in which the investment consultant was involved; and
22.12 (3) examples of the written work product provided by the investment consultant on
22.13those projects during the report coverage period.
22.14EFFECTIVE DATE.This section is effective June 30, 2007.
22.15 Sec. 8. [13.595] GRANTS.
22.16 Subdivision 1. Definitions. For purposes of this section, the following terms have
22.17the meanings given them.
22.18 (a) "Completion of the evaluation process" means that the granting agency has
22.19completed negotiating the grant agreement with the selected grantee.
22.20 (b) "Grant agreement" has the meaning given in section 16B.97, subdivision 1.
22.21 (c) "Grantee" means a person that applies for or receives a grant.
22.22 (d) "Granting agency" means the state agency that provides the grant.
22.23 (e) "Opened" means the act that occurs once the deadline for submitting a response
22.24to a proposal to the granting agency has been reached.
22.25 (f) "Request for proposal" means the data outlining the responsibilities the granting
22.26agency wants the grantee to assume.
22.27 (g) "Response" means the data submitted by a grantee as required by a request for
22.28proposal.
22.29 Subd. 2. Request for applications. Data created by a granting agency to create a
22.30request for proposal is classified as nonpublic until the request for proposal is published.
22.31To the extent that a granting agency involves persons outside the granting agency to create
22.32the request for proposal, the data remain nonpublic in the hands of all persons who may
22.33not further disseminate any data that are created or reviewed as part of the request for
22.34proposal development. At publication, the data in the request for proposal is public.
23.1 Subd. 3. Responses to request for proposals. (a) Responses submitted by a grantee
23.2are private or nonpublic until the responses are opened. Once the responses are opened,
23.3the name and address of the grantee and the amount requested is public. All other data in a
23.4response is private or nonpublic data until completion of the evaluation process. After a
23.5granting agency has completed the evaluation process, all remaining data in the responses
23.6is public with the exception of trade secret data as defined and classified in section 13.37.
23.7A statement by a grantee that the response is copyrighted or otherwise protected does
23.8not prevent public access to the response.
23.9 (b) If all responses are rejected prior to completion of the evaluation process,
23.10all data, other than that made public at the opening, remain private or nonpublic
23.11until a resolicitation of proposals results in completion of the evaluation process or a
23.12determination is made to abandon the grant. If the rejection occurs after the completion of
23.13the evaluation process, the data remain public. If a resolicitation of proposals does not
23.14occur within one year of the grant opening date, the remaining data become public.
23.15 Subd. 4. Evaluation data. (a) Data created or maintained by a granting agency as
23.16part of the evaluation process referred to in this section are protected nonpublic data until
23.17completion of the evaluation process at which time the data are public with the exception
23.18of trade secret data as defined and classified in section 13.37.
23.19 (b) If a granting agency asks individuals outside the granting agency to assist with
23.20the evaluation of the responses, the granting agency may share not public data in the
23.21responses with those individuals. The individuals participating in the evaluation may not
23.22further disseminate the not public data they review.
23.23 Sec. 9. Minnesota Statutes 2006, section 15.06, subdivision 2, is amended to read:
23.24 Subd. 2. Term of office; successor. The term of a commissioner shall end with the
23.25term of the office of governor.If the appointing authority is the governor In addition, the
23.26term shall endon the date the governor who appointed the commissioner if the governor
23.27vacates office. The appointing authority shall submit to the president of the senate
23.28the name of an appointee as permanent commissioner as provided by section15.066,
23.29subdivision 2 , within 45 legislative days after the end of the term of a commissioner
23.30and within 45 legislative days after the occurrence of a vacancy. The appointee shall
23.31take office as permanent commissioner when the senate notifies the appointing authority
23.32that it has consented to the appointment. A commissioner shall serve at the pleasure of
23.33the appointing authority.
23.34EFFECTIVE DATE.This section is effective the day following final enactment.
24.1 Sec. 10. Minnesota Statutes 2006, section 15B.17, subdivision 1, is amended to read:
24.2 Subdivision 1. Proposals. (a) Before a state agency or other public body develops,
24.3to submit to the legislature and the governor, a budget proposal or plans for capital
24.4improvements within the Capitol Area to submit to the legislature and the governor,
24.5it must consult with the board.
24.6 (b) The public body must provide enough money for the board's review and planning
24.7if the board decides its review and planning services are necessary. Money received by the
24.8board under this subdivision is deposited in the special revenue fund and appropriated to
24.9the board.
24.10 Sec. 11. Minnesota Statutes 2006, section 16A.102, subdivision 4, is amended to read:
24.11 Subd. 4. Reporting information.When updated information is available At
24.12the time of a state revenue and expenditure forecast as specified in section16A.103,
24.13subdivision 1 , and after the completion of a legislative session, the Department of Finance
24.14must report on revenue relative to personal incomeas specified in subdivision 1. The
24.15information must specify (1) the share of personal income to be collected in taxes and
24.16other revenues to pay for state and local government services and (2) the division of that
24.17revenue between state and local government revenues.
24.18 Sec. 12. Minnesota Statutes 2006, section 16A.103, subdivision 1e, is amended to read:
24.19 Subd. 1e. Economic information. The commissioner must review economic
24.20information including economic forecasts with legislative fiscal staff no later than two
24.21weeks before the forecast is released. The commissioner must invite the chairs and lead
24.22minority members of the senateState Government Finance Committee and the house
24.23Ways and Means Committee, and legislative fiscal staff to attend any meetings held with
24.24outside economic advisors. The commissioner must provide legislative fiscal staff with
24.25monthly economic forecast information received from outside sources.
24.26 Sec. 13. Minnesota Statutes 2006, section 16A.1286, subdivision 2, is amended to read:
24.27 Subd. 2. Billing procedures. The commissioner may bill up to $7,520,000 in
24.28each fiscal year for statewide systems services provided to state agencies, judicial branch
24.29agencies, the University of Minnesota, the Minnesota State Colleges and Universities,
24.30and other entities.Billing must be based only on usage of services relating to statewide
24.31systems provided by the Intertechnologies Division. Each agency shall transfer from
24.32agency operating appropriations to the statewide systems account the amount billed by
24.33the commissioner. Billing policies and procedures related to statewide systems services
25.1must be developed by the commissioner in consultation with the commissioners of
25.2employee relations and administration, the University of Minnesota, and the Minnesota
25.3State Colleges and Universities.
25.4 Sec. 14. Minnesota Statutes 2006, section 16A.695, subdivision 2, is amended to read:
25.5 Subd. 2. Leases and management contracts. (a) A public officer or agency that
25.6is authorized by law to lease or enter into a management contract with respect to state
25.7bond financed property shall comply with this subdivision. A reference to a lease or
25.8management contract in this subdivision includes any amendments, modifications, or
25.9alterations to the referenced lease or management contract and refers to the lease wherein
25.10the public officer or agency is the lessor of the state bond financed property and the other
25.11contracting party is the lessee.
25.12 (b) The lease or management contract may be entered into for the express purpose of
25.13carrying out a governmental program established or authorized by law and established by
25.14official action of the contracting public officer or agency, in accordance with orders of the
25.15commissioner intended to ensure the legality and tax-exempt status of bonds issued to
25.16finance the property, and with the approval of the commissioner. A lease or management
25.17contract, including any renewals that are solely at the option of the lessee, must be for a
25.18term substantially less than the useful life of the property, but may allow renewal beyond
25.19that term upon a determination by the lessor that the lessee has demonstrated that the use
25.20continues to carry out the governmental program. If the lessor and lessee do not renew the
25.21lease or management contract and if the lessee has contributed to the land and the capital
25.22improvements on the state bond financed property, the lessor may agree to reimburse the
25.23lessee for its investment in the land and capital improvements. The reimbursement may be
25.24paid, at the option of the lessor and lessee, at the time of nonrenewal without a requirement
25.25for a prior escrow of funds or at a later date and on additional terms agreed to by the lessor
25.26and the lessee. A lease or management contract must be terminable by the contracting
25.27public officer or agency if the other contracting party defaults under the contract or if the
25.28governmental program is terminated or changed, and must provide for program oversight
25.29by the contracting public officer or agency. The expiration or termination of a lease or
25.30management agreement does not require that the state bond proceeds be repaid or that
25.31the property be sold, so long as the property continues to be operated by, or on behalf of,
25.32the public officer or agency for the intended governmental program. Money received by
25.33the public officer or agency under the lease or management contract that is not needed
25.34to pay and not authorized to be used to pay operating costs of the property, or to pay the
26.1principal, interest, redemption premiums, and other expenses when due on debt related to
26.2the property other than state bonds, must be:
26.3 (1) paid to the commissioner in the same proportion as the state bond financing is
26.4to the total public debt financing for the property, excluding debt issued by a unit of
26.5government for which it has no financial liability;
26.6 (2) deposited in the state bond fund; and
26.7 (3) used to pay or redeem or defease bonds issued to finance the property in
26.8accordance with the commissioner's order authorizing their issuance.
26.9 The money paid to the commissioner is appropriated for this purpose.
26.10 (c) With the approval of the commissioner, a lease or management contract between
26.11a city and a nonprofit corporation under section471.191, subdivision 1 , need not require
26.12the lessee to pay rentals sufficient to pay the principal, interest, redemption premiums,
26.13and other expenses when due with respect to state bonds issued to acquire and better
26.14the facilities.
26.15EFFECTIVE DATE.This section is effective retroactively from January 1, 2006,
26.16and applies to leases, grant agreements, or management agreements entered into on or
26.17after that date.
26.18 Sec. 15. Minnesota Statutes 2006, section 16A.695, subdivision 3, is amended to read:
26.19 Subd. 3. Sale of property. A public officer or agency shall not sell any state bond
26.20financed property unless the public officer or agency determines by official action that
26.21the property is no longer usable or needed by the public officer or agency to carry out
26.22the governmental program for which it was acquired or constructed, the sale is made as
26.23authorized by law, the sale is made for fair market value, and the sale is approved by the
26.24commissioner. If any state bonds issued to purchase or better the state bond financed
26.25property that is sold remain outstanding on the date of sale, the net proceeds of sale must
26.26be applied as follows:
26.27 (1) if the state bond financed property was acquired and bettered solely with state
26.28bond proceeds, the net proceeds of sale must be paid to the commissioner, and deposited
26.29in the statebond fund, and used to pay or redeem or defease the outstanding state bonds in
26.30accordance with the commissioner's order authorizing their issuance, and the proceeds are
26.31appropriated for this purpose treasury; or
26.32 (2) if the state bond financed property was acquired or bettered partly with state
26.33bond proceeds and partly with other money, the net proceeds of sale must be used: first, to
26.34pay to the state the amount of state bond proceeds used to acquire or better the property;
26.35second, to pay in full any outstanding public or private debt incurred to acquire or better
27.1the property;and third, to pay interested public and private entities, other than any
27.2public officer or agency or any private lender already paid in full, the amount of money
27.3contributed to the acquisition or betterment of the property; and fourth, any excess over the
27.4amount needed for those purposes must be divided in proportion to the shares contributed
27.5to the acquisition or betterment of the property and paid to the interested public and
27.6private entities, other than any private lender already paid in full, and the proceeds are
27.7appropriated for this purpose. In calculating the share contributed by each entity, the
27.8amount to be attributed to the owner of the property shall be the fair market value of the
27.9property that was bettered by state bond proceeds at the time the betterment began.
27.10 When all of the net proceeds of sale have been applied as provided in this
27.11subdivision, this section no longer applies to the property.
27.12EFFECTIVE DATE.This section is effective retroactively from January 1, 2006,
27.13and applies to leases, grant agreements, or management agreements entered into on or
27.14after that date.
27.15 Sec. 16. Minnesota Statutes 2006, section 16A.695, is amended by adding a
27.16subdivision to read:
27.17 Subd. 6. Match requirements. Recipients of grants from money appropriated
27.18from the bond proceeds fund may be required to demonstrate a commitment of money
27.19from nonstate sources. This matching money may be pledged payments that have been
27.20deposited into a segregated account or multiyear pledges that are converted into cash or
27.21cash equivalent through a loan or irrevocable letter of credit from a financial institution.
27.22The loan or irrevocable letter of credit may be secured by a lien on the state bond financed
27.23property.
27.24EFFECTIVE DATE.This section is effective retroactively from January 1, 2006,
27.25and applies to leases, grant agreements, or management agreements entered into on or
27.26after that date.
27.27 Sec. 17. Minnesota Statutes 2006, section 16A.695, is amended by adding a
27.28subdivision to read:
27.29 Subd. 7. Ground lease for state bond financed property. A public officer or
27.30agency, as lessee, may lease real property and improvements that are to be acquired or
27.31improved with state bond proceeds. The lease must be for a term equal to or longer than
27.32125 percent of the useful life of the property. The expiration of the lease upon the end of
28.1its term does not require that the state be repaid or that the property be sold and upon the
28.2expiration the real property and improvements are no longer state bond financed property.
28.3EFFECTIVE DATE.This section is effective retroactively from January 1, 2006,
28.4and applies to leases, grant agreements, or management agreements entered into on or
28.5after that date.
28.6 Sec. 18. Minnesota Statutes 2006, section 16A.695, is amended by adding a
28.7subdivision to read:
28.8 Subd. 8. General applicability. (a) This section establishes requirements for
28.9the receipt and use of general obligation grants and the ownership and operation of
28.10state bond-financed property. General obligation grants may only be issued and used to
28.11finance the acquisition and betterment of public lands and buildings and other public
28.12improvements of a capital nature that are used to operate a governmental program, and
28.13for predesign and design activities for specifically identified projects that involve the
28.14operation of a governmental program or activity. A general obligation grant may not be
28.15used for general operating expenses, staffing, or general master planning. A public officer
28.16or agency that is the recipient of a general obligation grant must comply with this section
28.17in its use of the general obligation grant and operation, management, lease, and sale
28.18of state bond-financed property. A public officer or agency that uses the proceeds of a
28.19general obligation grant for any unauthorized purpose or in violation of this section must
28.20immediately repay the outstanding balance of the grant to the commissioner, and a failure
28.21to comply authorizes the commissioner to recover the outstanding balance as a setoff
28.22against any state aid provided to the public officer or agency.
28.23 (b) This section does not create any new authority regarding the ownership,
28.24construction, rehabilitation, use, operation, lease management, or sale of state
28.25bond-financed property, or the operation of the governmental program that will be
28.26operated on the property. Any authority that is needed to enter into a management contract
28.27or lease of property, to sell property, or to operate a governmental program or carry out
28.28any activity contained in the law that appropriates money for a general obligation grant
28.29must be provided by as contained in some other law.
28.30EFFECTIVE DATE.This section is effective on and after July 1, 2007.
28.31 Sec. 19. Minnesota Statutes 2006, section 16A.695, is amended by adding a
28.32subdivision to read:
29.1 Subd. 9. Grant agreement. All general obligation grants must be evidenced by
29.2a grant agreement that specifies:
29.3 (1) how the general obligation grant will be used;
29.4 (2) the governmental program that will be operated on the state bond-financed
29.5property; and
29.6 (3) that the state bond-financed property must be operated in compliance with this
29.7section, all state and federal laws, and in a manner that will not cause the interest on the
29.8state general obligation bonds to be or become subject to federal income taxation for any
29.9reason. A grant agreement must comply with this section, the Minnesota Constitution,
29.10and all commissioner's orders, and also contain other provisions the commissioner of the
29.11agency making the grant deems appropriate. The commissioner shall draft and make
29.12available forms for grant agreements that satisfy the requirements of this subdivision.
29.13EFFECTIVE DATE.This section is effective on and after July 1, 2007.
29.14 Sec. 20. Minnesota Statutes 2006, section 16B.055, subdivision 1, is amended to read:
29.15 Subdivision 1.Governor's Advisory Council on Technology for People with
29.16Disabilities Federal Assistive Technology Act. (a) The Department of Administration
29.17shall serve as the lead agency to assist the Minnesota Governor's Advisory Council on
29.18Technology for People with Disabilities in carrying out all responsibilities pursuant to
29.19United States Code, title 29, section 2211 et seq., and any other responsibilities related
29.20to that program is designated as the lead agency to carry out all the responsibilities
29.21under the Assistive Technology Act of 1998, as provided by Public Law 108-364, as
29.22amended. The Minnesota Assistive Technology Advisory Council is established to fulfill
29.23the responsibilities required by the Assistive Technology Act, as provided by Public Law
29.24108-364, as amended. Because the existence of this council is required by federal law, this
29.25council does not expire and the expiration date provided in section 15.059, subdivision
29.265, does not apply.
29.27 (b) The governor shall appoint the membership of the council as required by the
29.28Assistive Technology Act of 1998, as provided by Public Law 108-364, as amended.
29.29After the governor has completed the appointments required by this subdivision, the
29.30commissioner of administration, or the commissioner's designee, shall convene the first
29.31meeting of the council following the appointments. Members shall serve two-year
29.32terms commencing July 1 of each odd-numbered year, and receive the compensation
29.33specified by the Assistive Technology Act of 1998, as provided by Public Law 108-364, as
29.34amended. The members of the council shall select their chair at the first meeting following
29.35their appointment.
30.1 Sec. 21. Minnesota Statutes 2006, section 16B.24, subdivision 5, is amended to read:
30.2 Subd. 5. Renting out state property. (a) Authority. The commissioner may rent
30.3out state property, real or personal, that is not needed for public use, if the rental is not
30.4otherwise provided for or prohibited by law. The property may not be rented out for
30.5more than five years at a time without the approval of the State Executive Council and
30.6may never be rented out for more than 25 years. A rental agreement may provide that
30.7the state will reimburse a tenant for a portion of capital improvements that the tenant
30.8makes to state real property if the state does not permit the tenant to renew the lease at
30.9the end of the rental agreement.
30.10 (b) Restrictions. Paragraph (a) does not apply to state trust fund lands, other state
30.11lands under the jurisdiction of the Department of Natural Resources, lands forfeited for
30.12delinquent taxes, lands acquired under section298.22 , or lands acquired under section
30.1341.56
which are under the jurisdiction of the Department of Agriculture.
30.14 (c) Rental of living accommodations. The commissioner shall establish rental rates
30.15for all living accommodations provided by the state for its employees. Money collected as
30.16rent by state agencies pursuant to this paragraph must be deposited in the state treasury
30.17and credited to the general fund.
30.18 (d) Lease of space in certain state buildings to state agencies. The commissioner
30.19may lease portions of the state-owned buildingsin the Capitol complex, the Capitol
30.20Square Building, the Health Building, and the building at 1246 University Avenue, St.
30.21Paul, Minnesota, under the custodial control of the commissioner to state agencies and
30.22the court administrator on behalf of the judicial branch of state government and charge
30.23rent on the basis of space occupied. Notwithstanding any law to the contrary, all money
30.24collected as rent pursuant to the terms of this section shall be deposited in the state
30.25treasury. Money collected as rent to recover the bond interest costs of a building funded
30.26from the state bond proceeds fund shall be credited to the general fund. Money collected
30.27as rent to recover the depreciation costs of a building funded from the state bond proceeds
30.28fund and money collected as rent to recover capital expenditures from capital asset
30.29preservation and replacement appropriations and statewide building access appropriations
30.30shall be credited to a segregated asset preservation and replacement account in a special
30.31revenue fund. Fifty percent of the money credited to the account each fiscal year must
30.32be transferred to the general fund. The remaining money in the account is appropriated
30.33to the commissioner to be expended for asset preservation projects as determined by the
30.34commissioner. Money collected as rent to recover the depreciation and interest costs of
30.35a building built with other state dedicated funds shall be credited to the dedicated fund
31.1which funded the original acquisition or construction. All other money received shall be
31.2credited to the general services revolving fund.
31.3 (e) Lease of space in Andersen and Freeman buildings. The commissioner may
31.4lease space in the Elmer L. Andersen and Orville L. Freeman buildings to state agencies
31.5and charge rent on the basis of space occupied. Money collected as rent under this
31.6paragraph to fund future building repairs must be credited to a segregated account for each
31.7building in the special revenue fund and is appropriated to the commissioner to make
31.8the repairs. When the state acquires title to each building, the account for that building
31.9must be abolished and any balance remaining in the account must be transferred to the
31.10appropriate asset preservation and replacement account created under paragraph (d).
31.11 Sec. 22. Minnesota Statutes 2006, section 16B.35, subdivision 1, is amended to read:
31.12 Subdivision 1. Percent of appropriations for art. An appropriation for the
31.13construction or alteration of any state building may contain an amount not to exceed
31.14the lesser of $100,000 or one percent of the total appropriation for the building for the
31.15acquisition of works of art, excluding landscaping, which may be an integral part of the
31.16building or its grounds, attached to the building or grounds or capable of being displayed
31.17in other state buildings.If the appropriation for works of art is limited by the $100,000
31.18cap in this section, the appropriation for the construction or alteration of the building must
31.19be reduced to reflect the reduced amount that will be spent on works of art. Money used
31.20for this purpose is available only for the acquisition of works of art to be exhibited in areas
31.21of a building or its grounds accessible, on a regular basis, to members of the public. No
31.22more than ten percent of the total amount available each fiscal year under this subdivision
31.23may be used for administrative expenses, either by the commissioner of administration or
31.24by any other entity to whom the commissioner delegates administrative authority. For the
31.25purposes of this section "state building" means a building the construction or alteration of
31.26which is paid for wholly or in part by the state.
31.27EFFECTIVE DATE.This section is effective July 1, 2007. The repeal of the
31.28$100,000 limit in this section applies to appropriations made before, on, or after that date.
31.29 Sec. 23. [16B.97] GRANTS MANAGEMENT.
31.30 Subdivision 1. Grant agreement. (a) A grant agreement is a written instrument or
31.31electronic document defining a legal relationship between a granting agency and a grantee
31.32when the principal purpose of the relationship is to transfer cash or something of value
31.33to the recipient to support a public purpose authorized by law instead of acquiring by
32.1professional or technical contract, purchase, lease, or barter property or services for the
32.2direct benefit or use of the granting agency.
32.3 (b) This section does not apply to capital project grants to political subdivisions as
32.4defined by section 16A.86.
32.5 Subd. 2. Grants governance. The commissioner shall provide leadership and
32.6direction for policy related to grants management in Minnesota in order to foster more
32.7consistent, streamlined interaction between executive agencies, funders, and grantees that
32.8will enhance access to grant opportunities and information and lead to greater program
32.9accountability and transparency. The commissioner has the duties and powers stated in this
32.10section. An executive agency must do what the commissioner requires under this section.
32.11 Subd. 3. Discretionary powers. The commissioner has the authority to:
32.12 (1) review grants management practices and propose policy and procedure
32.13improvements to the governor, legislature, executive agencies, and the federal government;
32.14 (2) sponsor, support, and facilitate innovative and collaborative grants management
32.15projects with public and private organizations;
32.16 (3) review, recommend, and implement alternative strategies for grants management;
32.17 (4) collect and disseminate information, issue reports relating to grants management,
32.18and sponsor and conduct conferences and studies; and
32.19 (5) participate in conferences and other appropriate activities related to grants
32.20management issues.
32.21 Subd. 4. Duties. (a) The commissioner shall:
32.22 (1) create general grants management policies and procedures that are applicable to
32.23all executive agencies. The commissioner may approve exceptions to these policies and
32.24procedures for particular grant programs. Exceptions shall expire or be renewed after five
32.25years. Executive agencies shall retain management of individual grants programs;
32.26 (2) provide a central point of contact concerning statewide grants management
32.27policies and procedures;
32.28 (3) serve as a resource to executive agencies in such areas as training, evaluation,
32.29collaboration, and best practices in grants management;
32.30 (4) ensure grants management needs are considered in the development, upgrade,
32.31and use of statewide administrative systems and leverage existing technology wherever
32.32possible;
32.33 (5) oversee and approve future professional and technical service contracts and
32.34other information technology spending related to executive agency grants management
32.35activities;
33.1 (6) provide a central point of contact for comments about executive agencies
33.2violating statewide grants governance policies and about fraud and waste in grants
33.3processes;
33.4 (7) forward received comments to the appropriate agency for further action, and may
33.5follow up as necessary;
33.6 (8) provide a single listing of all available executive agency competitive grant
33.7opportunities and resulting grant recipients;
33.8 (9) selectively review development and implementation of executive agency grants,
33.9policies, and practices; and
33.10 (10) selectively review executive agency compliance with best practices.
33.11 (b) The commissioner may determine that it is cost-effective for agencies to develop
33.12and use shared grants management technology systems. This system would be governed
33.13under section 16E.01, subdivision 3, paragraph (b).
33.14 Sec. 24. [16B.98] GRANTS MANAGEMENT PROCESS.
33.15 Subdivision 1. Limitation. As a condition of receiving a grant from an appropriation
33.16of state funds, the recipient of the grant must agree to minimize administrative costs. The
33.17granting agency is responsible for negotiating appropriate limits to these costs so that the
33.18state derives the optimum benefit for grant funding.
33.19 Subd. 2. Ethical practices and conflict of interest. An employee of the executive
33.20branch involved directly or indirectly in grants processes, at any level, is subject to the
33.21code of ethics in section 43A.38.
33.22 Subd. 3. Conflict of interest. (a) The commissioner must develop policies
33.23regarding code of ethics and conflict of interest designed to prevent conflicts of interest for
33.24employees, committee members, or others involved in the recommendation, awarding,
33.25and administration of grants. The policies must apply to employees who are directly or
33.26indirectly in the grants process, which may include the following:
33.27 (1) developing request for proposals or evaluation criteria;
33.28 (2) drafting, recommending, awarding, amending, revising, or entering into grant
33.29agreements;
33.30 (3) evaluating or monitoring performance; or
33.31 (4) authorizing payments.
33.32 (b) The policies must include:
33.33 (1) a process to make all parties to the grant aware of policies and laws relating to
33.34conflict of interest, and training on how to avoid and address potential conflicts; and
34.1 (2) a process under which those who have a conflict of interest or a potential conflict
34.2of interest must disclose the matter.
34.3 (c) If the employee, appointing authority, or commissioner determines that a conflict
34.4of interest exists, the matter shall be assigned to another employee who does not have a
34.5conflict of interest. If it is not possible to assign the matter to an employee who does not
34.6have a conflict of interest, interested personnel shall be notified of the conflict and the
34.7employee may proceed with the assignment.
34.8 Subd. 4. Reporting of violations. A state employee who discovers evidence
34.9of violation of laws or rules governing grants is encouraged to report the violation or
34.10suspected violation to the employee's supervisor, the commissioner or the commissioner's
34.11designee, or the legislative auditor. The legislative auditor shall report to the Legislative
34.12Audit Commission if there are multiple complaints about the same agency. The auditor's
34.13report to the Legislative Audit Commission under this section must disclose only the
34.14number and type of violations alleged. An employee making a good faith report under this
34.15section has the protections provided for under section 181.932, prohibiting the employer
34.16from discriminating against the employee.
34.17 Subd. 5. Creation and validity of grant agreements. (a) A grant agreement is
34.18not valid and the state is not bound by the grant unless:
34.19 (1) the grant has been executed by the head of the agency or a delegate who is
34.20party to the grant; and
34.21 (2) the accounting system shows an encumbrance for the amount of the grant in
34.22accordance with policy approved by the commissioner.
34.23 (b) The combined grant agreement and amendments must not exceed five years
34.24without specific, written approval by the commissioner according to established policy,
34.25procedures, and standards, or unless the commissioner determines that a longer duration is
34.26in the best interest of the state.
34.27 (c) A fully executed copy of the grant agreement with all amendments and other
34.28required records relating to the grant must be kept on file at the granting agency for a time
34.29equal to that required of grantees in subdivision 8.
34.30 (d) Grant agreements must comply with policies established by the commissioner
34.31for minimum grant agreement standards and practices.
34.32 (e) The attorney general may periodically review and evaluate a sample of state
34.33agency grants to ensure compliance with applicable laws.
34.34 Subd. 6. Grant administration. A granting agency shall diligently administer
34.35and monitor any grant it has entered into.
35.1 Subd. 7. Grant payments. Payments to the grantee may not be issued until the
35.2grant agreement is fully executed.
35.3 Subd. 8. Audit. (a) A grant agreement made by an executive agency must include an
35.4audit clause that provides that the books, records, documents, and accounting procedures
35.5and practices of the grantee or other party that are relevant to the grant or transaction are
35.6subject to examination by the granting agency and either the legislative auditor or the state
35.7auditor, as appropriate, for a minimum of six years from the grant agreement end date,
35.8receipt and approval of all final reports, or the required period of time to satisfy all state
35.9and program retention requirements, whichever is later. If a grant agreement does not
35.10include an express audit clause, the audit authority under this subdivision is implied.
35.11 (b) If the granting agency is a local unit of government, and the governing body of
35.12the local unit of government requests that the state auditor examine the books, records,
35.13documents, and accounting procedures and practices of the grantee or other party
35.14according to this subdivision, the granting agency shall be liable for the cost of the
35.15examination. If the granting agency is a local unit of government, and the grantee or other
35.16party requests that the state auditor examine all books, records, documents, and accounting
35.17procedures and practices related to the grant, the grantee or other party that requested the
35.18examination shall be liable for the cost of the examination.
35.19 Subd. 9. Authority of attorney general. The attorney general may pursue
35.20remedies available by law to avoid the obligation of an agency to pay under a grant or to
35.21recover payments made if activities under the grant are so unsatisfactory, incomplete, or
35.22inconsistent that payment would involve unjust enrichment. The contrary opinion of the
35.23granting agency does not affect the power of the attorney general under this subdivision.
35.24 Subd. 10. Grants with Indian tribes and bands. Notwithstanding any other law,
35.25an agency may not require an Indian tribe or band to deny its sovereignty as a requirement
35.26or condition of a grant with an agency.
35.27 Sec. 25. Minnesota Statutes 2006, section 16C.02, is amended by adding a subdivision
35.28to read:
35.29 Subd. 3a. Best and final offer. "Best and final offer" means an optional step in
35.30the solicitation process in which responders are requested to improve their response by
35.31methods including, but not limited to, the reduction of cost, clarification or modification of
35.32the response, or the provision of additional information.
35.33 Sec. 26. Minnesota Statutes 2006, section 16C.02, subdivision 4, is amended to read:
36.1 Subd. 4. Best value. "Best value" describes a result intended in the acquisition of all
36.2goods and services. Price must be one of the evaluation criteria when acquiring goods
36.3and services. Other evaluation criteria may include, but are not limited to, environmental
36.4considerations, quality, and vendor performance. In achieving "best value" strategic
36.5sourcing tools, including but not limited to best and final offers, negotiations, contract
36.6consolidation, product standardization, and mandatory-use enterprise contracts shall be
36.7used at the commissioner's discretion.
36.8 Sec. 27. Minnesota Statutes 2006, section 16C.02, is amended by adding a subdivision
36.9to read:
36.10 Subd. 6a. Enterprise procurement. "Enterprise procurement" means the process
36.11undertaken by the commissioner to leverage economies of scale of multiple end users to
36.12achieve cost savings and other favorable terms in contracts for goods and services.
36.13 Sec. 28. Minnesota Statutes 2006, section 16C.02, subdivision 12, is amended to read:
36.14 Subd. 12. Request for proposal or RFP. "Request for proposal" or "RFP" means a
36.15solicitation in which it is not advantageous to set forth all the actual, detailed requirements
36.16at the time of solicitation and responses aresubject to negotiation negotiated to achieve
36.17best value for the state.
36.18 Sec. 29. Minnesota Statutes 2006, section 16C.02, subdivision 14, is amended to read:
36.19 Subd. 14. Response. "Response" means the offer received from a vendor in
36.20response to a solicitation. A response includes submissions commonly referred to as
36.21"offers," "bids," "quotes,"or "proposals.," "best and final offers," or "negotiated offers."
36.22 Sec. 30. Minnesota Statutes 2006, section 16C.02, is amended by adding a subdivision
36.23to read:
36.24 Subd. 20. Strategic sourcing. "Strategic sourcing" means methods used to
36.25analyze and reduce spending on goods and services, including but not limited to
36.26spend analysis, product standardization, contract consolidation, negotiations, multiple
36.27jurisdiction purchasing alliances, reverse and forward auctions, life-cycle costing, and
36.28other techniques.
36.29 Sec. 31. Minnesota Statutes 2006, section 16C.03, subdivision 2, is amended to read:
36.30 Subd. 2. Rulemaking authority. Subject to chapter 14, the commissioner may
36.31adopt rules, consistent with this chapter and chapter 16B, relating to the following topics:
37.1 (1) procurement process including solicitations and responses to solicitations, bid
37.2security, vendor errors, opening of responses, award of contracts, tied bids, and award
37.3protest process;
37.4 (2) contract performance and failure to perform;
37.5 (3) authority to debar or suspend vendors, and reinstatement of vendors;
37.6 (4) contract cancellation;
37.7 (5) procurement from rehabilitation facilities; and
37.8 (6) organizational conflicts of interest.
37.9 Sec. 32. Minnesota Statutes 2006, section 16C.03, subdivision 4, is amended to read:
37.10 Subd. 4. Contracting authority. The commissioner shall conduct all contracting by,
37.11for, and between agencies and perform all contract management and review functions for
37.12contracts, except those functions specifically delegated to be performed by the contracting
37.13agency, the attorney general, or otherwise provided for by law. The commissioner may
37.14require that agency staff participate in the development of enterprise procurements
37.15including the development of product standards, specifications and other requirements.
37.16 Sec. 33. Minnesota Statutes 2006, section 16C.03, subdivision 8, is amended to read:
37.17 Subd. 8. Policy and procedures. The commissioner is authorized to issue policies,
37.18procedures, and standards applicable to all acquisition activities by and for agencies.
37.19Consistent with the authority specified in this chapter, the commissioner shall develop
37.20and implement policies, procedures, and standards ensuring the optimal use of strategic
37.21sourcing techniques.
37.22 Sec. 34. Minnesota Statutes 2006, section 16C.03, subdivision 16, is amended to read:
37.23 Subd. 16. Delegation of duties. The commissioner may delegate duties imposed by
37.24this chapter to the head of an agency and to any subordinate of the agency head. Delegated
37.25duties shall be exercised in the name of the commissioner and under the commissioner's
37.26direct supervision and control. A delegation of duties may include, but is not limited to,
37.27allowing individuals within agencies to acquire goods, services, and utilities within dollar
37.28limitations and for designated types of acquisitions. Delegation of contract management
37.29and review functions must be filed with the secretary of state and may not, except with
37.30respect to delegations within the Department of Administration, exceed two years in
37.31duration. The commissioner may withdraw any delegation at the commissioner's sole
37.32discretion. The commissioner may require an agency head or subordinate to accept
38.1delegated responsibility to procure goods or services intended for the exclusive use of the
38.2agency receiving the delegation.
38.3 Sec. 35. [16C.046] WEB SITE WITH SEARCHABLE DATABASE ON STATE
38.4CONTRACTS AND GRANTS.
38.5 (a) The commissioner of administration must maintain a Web site with a searchable
38.6database providing the public with information on state contracts, including grant
38.7contracts. The database must include the following information for each state contract
38.8valued in excess of $25,000:
38.9 (1) the name and address of the entity receiving the contract;
38.10 (2) the name of the agency entering into the contract;
38.11 (3) whether the contract is:
38.12 (i) for goods;
38.13 (ii) for professional or technical services;
38.14 (iii) for services other than professional and technical services; or
38.15 (iv) a grant;
38.16 (4) a brief statement of the purpose of the contract or grant;
38.17 (5) the amount of the contract or grant and the fund from which this amount will be
38.18paid; and
38.19 (6) the dollar value of state contracts, other than grants, the entity has received in each
38.20fiscal year and the dollar value of state grants the entity has received in each fiscal year.
38.21 (b) Required information on a new contract or grant must be entered into the
38.22database within 30 days of the time the contract is entered into.
38.23 (c) For purposes of this section, a "grant" is a contract between a state agency and
38.24a recipient, the primary purpose of which is to transfer cash or a thing of value to the
38.25recipient to support a public purpose. Grant does not include payments to units of local
38.26government, payments to state employees, or payments made under laws providing for
38.27assistance to individuals.
38.28 (d) The database must include information on grants and contracts entered into
38.29beginning with fiscal year 2008 funds, and must retain that data for ten years.
38.30EFFECTIVE DATE.This section is effective January 1, 2008.
38.31 Sec. 36. Minnesota Statutes 2006, section 16C.05, subdivision 1, is amended to read:
38.32 Subdivision 1. Agency cooperation. Agencies shall fully cooperate with the
38.33commissioner in the management and review of state contracts and in the development
38.34and implementation of strategic sourcing techniques.
39.1 Sec. 37. Minnesota Statutes 2006, section 16C.05, subdivision 2, is amended to read:
39.2 Subd. 2. Creation and validity of contracts. (a) A contract is not valid and the state
39.3is not bound by it and no agency, without the prior written approval of the commissioner
39.4granted pursuant to subdivision 2a, may authorize work to begin on it unless:
39.5 (1) it has first been executed by the head of the agency or a delegate who is a party
39.6to the contract;
39.7 (2) it has been approved by the commissioner; and
39.8 (3) the accounting system shows an encumbrance for the amount of the contract
39.9liability, except as allowed by policy approved by the commissioner and commissioner of
39.10finance for routine, low-dollar procurements.
39.11 (b) The combined contract and amendments must not exceed five years without
39.12specific, written approval by the commissioner according to established policy, procedures,
39.13and standards, or unless otherwise provided for by law. The term of the original contract
39.14must not exceed two years unless the commissioner determines that a longer duration is
39.15in the best interest of the state.
39.16 (c) Grants, interagency agreements, purchase orders, work orders, and annual plans
39.17need not, in the discretion of the commissioner and attorney general, require the signature
39.18of the commissioner and/or the attorney general. A signature is not required for work
39.19orders and amendments to work orders related to Department of Transportation contracts.
39.20Bond purchase agreements by the Minnesota Public Facilities Authority do not require
39.21the approval of the commissioner.
39.22 (d) Amendments to contracts must entail tasks that are substantially similar to
39.23those in the original contract or involve tasks that are so closely related to the original
39.24contract that it would be impracticable for a different contractor to perform the work. The
39.25commissioner or an agency official to whom the commissioner has delegated contracting
39.26authority under section16C.03, subdivision 16 , must determine that an amendment would
39.27serve the interest of the state better than a new contract and would cost no more.
39.28 (e) A fully executed copy of every contract, amendments to the contract, and
39.29performance evaluations relating to the contract must be kept on file at the contracting
39.30agency for a time equal to that specified for contract vendors and other parties in
39.31subdivision 5.
39.32 (f) The attorney general must periodically review and evaluate a sample of state
39.33agency contracts to ensure compliance with laws.
39.34 Sec. 38. Minnesota Statutes 2006, section 16C.08, is amended by adding a subdivision
39.35to read:
40.1 Subd. 1a. Enterprise procurement. Notwithstanding section 15.061 or any
40.2other law, the commissioner shall, to the fullest extent practicable, conduct enterprise
40.3procurements that result in the establishment of professional or technical contracts for
40.4use by multiple state agencies. The commissioner is authorized to mandate use of any
40.5contract entered into as a result of an enterprise procurement process. Agencies shall fully
40.6cooperate in the development and use of contracts entered into under this section.
40.7 Sec. 39. Minnesota Statutes 2006, section 16C.08, subdivision 2, is amended to read:
40.8 Subd. 2. Duties of contracting agency. (a) Before an agency may seek approval of
40.9a professional or technical services contract valued in excess of $5,000, it must provide
40.10the following:
40.11 (1) a description of how the proposed contract or amendment is necessary and
40.12reasonable to advance the statutory mission of the agency;
40.13 (2) a description of the agency's plan to notify firms or individuals who may be
40.14available to perform the services called for in the solicitation;and
40.15 (3) a description of the performance measures or other tools that will be used to
40.16monitor and evaluate contract performance.; and
40.17 (4) an explanation detailing, if applicable, why this procurement is being pursued
40.18unilaterally by the agency and not as an enterprise procurement.
40.19 (b) In addition to paragraph (a), the agency must certify that:
40.20 (1) no current state employee is able and available to perform the services called
40.21for by the contract;
40.22 (2) the normal competitive bidding mechanisms will not provide for adequate
40.23performance of the services;
40.24 (3) reasonable efforts will be made to publicize the availability of the contract to
40.25the public;
40.26 (4) the agency will develop and implement a written plan providing for the
40.27assignment of specific agency personnel to manage the contract, including a monitoring
40.28and liaison function, the periodic review of interim reports or other indications of past
40.29performance, and the ultimate utilization of the final product of the services;
40.30 (5) the agency will not allow the contractor to begin work before the contract is fully
40.31executed unless an exception under section16C.05, subdivision 2a , has been granted by
40.32the commissioner and funds are fully encumbered;
40.33 (6) the contract will not establish an employment relationship between the state or
40.34the agency and any persons performing under the contract;and
41.1 (7) in the event the results of the contract work will be carried out or continued by
41.2state employees upon completion of the contract, the contractor is required to include
41.3state employees in development and training, to the extent necessary to ensure that after
41.4completion of the contract, state employees can perform any ongoing work related to
41.5the same function.; and
41.6 (8) the agency will not contract out its previously eliminated jobs for four years
41.7without first considering the same former employees who are on the seniority unit layoff
41.8list who meet the minimum qualifications determined by the agency.
41.9 (c) A contract establishes an employment relationship for purposes of paragraph (b),
41.10clause (6), if, under federal laws governing the distinction between an employee and an
41.11independent contractor, a person would be considered an employee.
41.12 Sec. 40. Minnesota Statutes 2006, section 16C.08, subdivision 4, is amended to read:
41.13 Subd. 4. Reports. (a) The commissioner shall submit to the governor, the chairs of
41.14the house Ways and Means and senate Finance Committees, and the Legislative Reference
41.15Library a yearly listing of all contracts for professional or technical services executed.
41.16The report must identify the contractor, contract amount, duration, and services to be
41.17provided. The commissioner shall also issue yearly reports summarizing the contract
41.18review activities of the department by fiscal year.
41.19 (b) The fiscal year report must be submitted by September 1 of each year and must:
41.20 (1) be sorted by agency and by contractor;
41.21 (2) show the aggregate value of contracts issued by each agency and issued to each
41.22contractor;
41.23 (3) distinguish between contracts that are being issued for the first time and contracts
41.24that are being extended;
41.25 (4) state the termination date of each contract;
41.26 (5) identify services by commodity code, including topics such as contracts for
41.27training, contracts for research and opinions, and contracts for computer systems; and
41.28 (6) identify which contracts were awarded without following the solicitation process
41.29in this chapter because it was determined that there was only a single source for the
41.30services.
41.31 (c) Within 30 days of final completion of a contract over $50,000 covered by this
41.32subdivision, the head of the agency entering into the contract must submit a one-page
41.33report to the commissioner who must submit a copy to the Legislative Reference Library.
41.34The report must:
42.1 (1) summarize the purpose of the contract, including why it was necessary to enter
42.2into a contract;
42.3 (2) state the amount spent on the contract;
42.4(3) be accompanied by the performance evaluation prepared according to subdivision
42.54a; and
42.6(4) (3) if the contract was awarded without following the solicitation process in this
42.7chapter because it was determined that there was only a single source for the services,
42.8explain why the agency determined there was only a single source for the services.; and
42.9 (4) include a written performance evaluation of the work done under the contract.
42.10The evaluation must include an appraisal of the contractor's timeliness, quality, cost, and
42.11overall performance in meeting the terms and objectives of the contract. Contractors may
42.12request copies of evaluations prepared under this subdivision and may respond in writing.
42.13Contractor responses must be maintained with the contract file.
42.14 Sec. 41. Minnesota Statutes 2006, section 16C.08, is amended by adding a subdivision
42.15to read:
42.16 Subd. 4b. Limitations on actions. No action may be maintained by a contractor
42.17against an employee or agency who discloses information about a current or former
42.18contractor under subdivision 4, unless the contractor demonstrates by clear and convincing
42.19evidence that:
42.20 (1) the information was false and defamatory;
42.21 (2) the employee or agency knew or should have known the information was false
42.22and acted with malicious intent to injure the current or former contractor; and
42.23 (3) the information was acted upon in a manner that caused harm to the current or
42.24former contractor.
42.25 Sec. 42. [16C.086] CALL-CENTER.
42.26 An agency may not enter into a contract for operation of a call-center, or a contract
42.27whose primary purpose is to provide similar services answering or responding to telephone
42.28calls on behalf of an agency without determining if the service can be provided by state
42.29employees, and the services must be provided at offices located in the United States. For
42.30purposes of this section, "agency" includes the Minnesota State Colleges and Universities.
42.31EFFECTIVE DATE.This section is effective the day following final enactment,
42.32and applies to a contract entered into or renewed or otherwise extended after that date.
42.33 Sec. 43. Minnesota Statutes 2006, section 16C.10, subdivision 7, is amended to read:
43.1 Subd. 7. Reverse auction. (a) For the purpose of this subdivision, "reverse auction"
43.2means a purchasing process in which vendors compete to provide goods orcomputer
43.3services at the lowest selling price in an open and interactive environment. Reverse
43.4auctions may not be utilized to procure engineering design services or architectural
43.5services or to establish building and construction contracts under sections 16C.26 to
43.616C.29.
43.7 (b) The provisions of sections13.591, subdivision 3 , and
16C.06, subdivision 2 ,
43.8do not apply when the commissioner determines that a reverse auction is the appropriate
43.9purchasing process.
43.10 Sec. 44. [16C.147] DOCUMENT IMAGING; USE OF PERSONS WITH
43.11DEVELOPMENTAL DISABILITIES.
43.12 The commissioner shall promote the use of persons with developmental disabilities
43.13to provide document imaging services for state and local government agencies.
43.14 Sec. 45. Minnesota Statutes 2006, section 16C.16, subdivision 5, is amended to read:
43.15 Subd. 5. Designation of targeted groups. (a) The commissioner of administration
43.16shall periodically designate businesses that are majority owned and operated by women,
43.17persons with a substantial physical disability, or specific minorities as targeted group
43.18businesses within purchasing categories as determined by the commissioner. A group
43.19may be targeted within a purchasing category if the commissioner determines there is a
43.20statistical disparity between the percentage of purchasing from businesses owned by
43.21group members and the representation of businesses owned by group members among all
43.22businesses in the state in the purchasing category.
43.23 (b) In addition to designations under paragraph (a), an individual business may be
43.24included as a targeted group business if the commissioner determines that inclusion is
43.25necessary to remedy discrimination against the owner based on race, gender, or disability
43.26in attempting to operate a business that would provide goods or services to public agencies.
43.27 (c) In addition to the designations under paragraphs (a) and (b), the commissioner of
43.28administration shall designate businesses that are majority owned and operated by veterans
43.29who have served in federal active service as defined in section 190.05, subdivision 5c, in
43.30support of Operation Enduring Freedom or Operation Iraqi Freedom as targeted group
43.31businesses within purchasing categories as determined by the commissioner. "Veteran"
43.32has the meaning given in section 197.447, and also includes both currently serving and
43.33honorably discharged members of the national guard and other military reserves.
44.1(c) (d) The designations of purchasing categories and businesses under paragraphs
44.2(a)and, (b), and (c) are not rules for purposes of chapter 14, and are not subject to
44.3rulemaking procedures of that chapter.
44.4EFFECTIVE DATE.This section is effective July 1, 2007, and applies to
44.5procurement contract bid solicitations issued on and after that date.
44.6 Sec. 46. [16C.251] BEST AND FINAL OFFER.
44.7 A "best and final offer" solicitation process may not be used for building and
44.8construction contracts.
44.9 Sec. 47. Minnesota Statutes 2006, section 43A.08, subdivision 2a, is amended to read:
44.10 Subd. 2a. Temporary unclassified positions. The commissioner, upon request of
44.11an appointing authority, may authorize the temporary designation of a position in the
44.12unclassified service. The commissioner may make this authorization only for professional,
44.13managerial or supervisory positions which are fully anticipated to be of limited duration.
44.14An individual may not be employed by an appointing authority under this subdivision
44.15for more than 18 months.
44.16EFFECTIVE DATE.For individuals who are employed under section 43A.08,
44.17subdivision 2a, on the effective date of this section, the 18-month time limit under this
44.18section commences the day following final enactment.
44.19 Sec. 48. Minnesota Statutes 2006, section 43A.346, subdivision 1, is amended to read:
44.20 Subdivision 1. Definition. For purposes of this section, "state employee" means a
44.21person currently occupying a civil service position in the executive or legislative branch of
44.22state government, the Minnesota State Retirement System, or the Office of the Legislative
44.23Auditor, or a person employed by the Metropolitan Council.
44.24 Sec. 49. Minnesota Statutes 2006, section 161.1419, subdivision 8, is amended to read:
44.25 Subd. 8. Expiration. The commission expires on June 30,2007 2012.
44.26EFFECTIVE DATE.This section is effective the day following final enactment.
44.27 Sec. 50. Minnesota Statutes 2006, section 270B.14, is amended by adding a
44.28subdivision to read:
45.1 Subd. 19. Disclosure to Department of Finance. The commissioner may disclose
45.2to the commissioner of finance returns or return information necessary in order to prepare
45.3a revenue forecast under section 16A.103.
45.4 Sec. 51. Minnesota Statutes 2006, section 270C.03, subdivision 1, is amended to read:
45.5 Subdivision 1. Powers and duties. The commissioner shall have and exercise
45.6the following powers and duties:
45.7 (1) administer and enforce the assessment and collection of taxes;
45.8 (2) make determinations, corrections, and assessments with respect to taxes,
45.9including interest, additions to taxes, and assessable penalties;
45.10 (3) use statistical or other sampling techniques consistent with generally accepted
45.11auditing standards in examining returns or records and making assessments;
45.12 (4) investigate the tax laws of other states and countries, and formulate and submit
45.13to the legislature such legislation as the commissioner may deem expedient to prevent
45.14evasions of state revenue laws and to secure just and equal taxation and improvement in
45.15the system of state revenue laws;
45.16 (5) consult and confer with the governor upon the subject of taxation, the
45.17administration of the laws in regard thereto, and the progress of the work of the
45.18department, and furnish the governor, from time to time, such assistance and information
45.19as the governor may require relating to tax matters;
45.20 (6) execute and administer any agreement with the secretary of the treasury or the
45.21Bureau of Alcohol, Tobacco, Firearms, and Explosives in the Department of Justice of the
45.22United States or a representative of another state regarding the exchange of information
45.23and administration of the state revenue laws;
45.24 (7) require town, city, county, and other public officers to report information as to the
45.25collection of taxes received from licenses and other sources, and such other information
45.26as may be needful in the work of the commissioner, in such form as the commissioner
45.27may prescribe;
45.28 (8) authorize the use of unmarked motor vehicles to conduct seizures or criminal
45.29investigations pursuant to the commissioner's authority;and
45.30 (9) maintain toll-free telephone access for taxpayer assistance for calls from
45.31locations within the state; and
45.32 (10) exercise other powers and authority and perform other duties required of or
45.33imposed upon the commissioner by law.
45.34EFFECTIVE DATE.This section is effective January 1, 2008.
46.1 Sec. 52. [270C.21] TAXPAYER ASSISTANCE GRANTS.
46.2 When the commissioner awards grants to nonprofit organizations to coordinate,
46.3facilitate, encourage, and aid in the provision of taxpayer assistance services, the
46.4commissioner must provide public notice of the grants in a timely manner so that the
46.5grant process is completed and grants are awarded by October 1, in order for recipient
46.6organizations to adequately plan expenditures for the filing season. At the time the
46.7commissioner provides public notice, the commissioner must also notify nonprofit
46.8organizations that received grants in the previous biennium.
46.9EFFECTIVE DATE.This section is effective the day following final enactment.
46.10 Sec. 53. Minnesota Statutes 2006, section 302A.821, subdivision 4, is amended to read:
46.11 Subd. 4. Penalty; reinstatement. (a) A corporation that has failed to file a
46.12registration pursuant to the requirements of subdivision 2 must be dissolved by the
46.13secretary of state as described in paragraph (b).
46.14 (b) If the corporation has not filed the registrationfor two consecutive during
46.15any calendaryears year, the secretary of state must issue a certificate of administrative
46.16dissolution and the certificate must be filed in the Office of the Secretary of State.The
46.17secretary of state shall send notice to the corporation that the corporation has been
46.18dissolved and that the corporation may be reinstated by filing a registration and a $25 fee.
46.19The notice must be given by United States mail unless the company has indicated to the
46.20secretary of state that they are willing to receive notice by electronic notification, in which
46.21case the secretary of state may give notice by mail or the indicated means. The secretary
46.22of state shall annually inform the attorney general and the commissioner of revenue of
46.23the methods by which the names of corporations dissolved under this section during the
46.24preceding year may be determined. The secretary of state must also make available in
46.25an electronic format the names of the dissolved corporations. A corporation dissolved in
46.26this manner is not entitled to the benefits of section302A.781 . The liability, if any, of the
46.27shareholders of a corporation dissolved in this manner shall be determined and limited in
46.28accordance with section302A.557 , except that the shareholders shall have no liability to
46.29any director of the corporation under section302A.559, subdivision 2 .
46.30 (c) After administrative dissolution, filing a registration and the $25 fee with the
46.31secretary of state:
46.32 (1) returns the corporation to good standing as of the date of the dissolution;
46.33 (2) validates contracts or other acts within the authority of the articles, and the
46.34corporation is liable for those contracts or acts; and
47.1 (3) restores to the corporation all assets and rights of the corporation to the extent
47.2they were held by the corporation before the dissolution occurred, except to the extent that
47.3assets or rights were affected by acts occurring after the dissolution or sold or otherwise
47.4distributed after that time.
47.5EFFECTIVE DATE.This section is effective January 1, 2008.
47.6 Sec. 54. Minnesota Statutes 2006, section 308A.995, subdivision 4, is amended to read:
47.7 Subd. 4. Penalty; dissolution. (a) A cooperative that has failed to file a registration
47.8pursuant to the requirements of this section by December 31 of the calendar year for which
47.9the registration was required must be dissolved by the secretary of state as described in
47.10paragraph (b).
47.11 (b) If the cooperative has not filed the registration by December 31 of that calendar
47.12year, the secretary of state must issue a certificate of involuntary dissolution, and the
47.13certificate must be filed in the Office of the Secretary of State.The secretary of state must
47.14annually inform the attorney general and the commissioner of revenue of the methods by
47.15which the names of cooperatives dissolved under this section during the preceding year
47.16may be determined. The secretary of state must also make available in an electronic
47.17format the names of the dissolved cooperatives. A cooperative dissolved in this manner is
47.18not entitled to the benefits of section308A.981 .
47.19EFFECTIVE DATE.This section is effective January 1, 2008.
47.20 Sec. 55. Minnesota Statutes 2006, section 308B.121, subdivision 4, is amended to read:
47.21 Subd. 4. Penalty; dissolution. (a) A cooperative that has failed to file a registration
47.22under the requirements of this section must be dissolved by the secretary of state as
47.23described in paragraph (b).
47.24 (b) If the cooperative has not filed the registration by December 31 of that calendar
47.25year, the secretary of state must issue a certificate of involuntary dissolution and the
47.26certificate must be filed in the Office of the Secretary of State.The secretary of state must
47.27annually inform the attorney general and the commissioner of revenue of the methods by
47.28which the names of cooperatives dissolved under this section during the preceding year
47.29may be determined. The secretary of state must also make available in an electronic
47.30format the names of the dissolved cooperatives. A cooperative dissolved in this manner is
47.31not entitled to the benefits of section308B.971 .
47.32EFFECTIVE DATE.This section is effective January 1, 2008.
48.1 Sec. 56. Minnesota Statutes 2006, section 308B.215, subdivision 2, is amended to read:
48.2 Subd. 2. Filing. The original articles and a designation of the cooperative's
48.3registered office and agent, including a registration form under section
308B.121, shall
48.4be filed with the secretary of state. The fee for filing the articles with the secretary of
48.5state is $60.
48.6EFFECTIVE DATE.This section is effective August 1, 2007.
48.7 Sec. 57. [308B.903] NOTICE OF INTENT TO DISSOLVE.
48.8 Before a cooperative begins dissolution, a notice of intent to dissolve must be filed
48.9with the secretary of state. The notice must contain:
48.10 (1) the name of the cooperative;
48.11 (2) the date and place of the members' meeting at which the resolution was
48.12approved; and
48.13 (3) a statement that the requisite vote of the members approved the proposed
48.14dissolution.
48.15EFFECTIVE DATE.This section is effective August 1, 2007.
48.16 Sec. 58. Minnesota Statutes 2006, section 317A.823, subdivision 1, is amended to read:
48.17 Subdivision 1. Annual registration. (a) The secretary of state must send annually
48.18to each corporation at the registered office of the corporation a postcard notice announcing
48.19the need to file the annual registration and informing the corporation that the annual
48.20registration may be filed online and that paper filings may also be made, and informing
48.21the corporation that failing to file the annual registration will result in an administrative
48.22dissolution of the corporation.
48.23 (b)Except for corporations to which paragraph (d) applies, Each calendar year
48.24beginning in the calendar year following the calendar year in which a corporation
48.25incorporates, a corporation must file with the secretary of state by December 31 of each
48.26calendar year a registration containing the information listed in paragraph (c).
48.27 (c) The registration must include:
48.28 (1) the name of the corporation;
48.29 (2) the address of its registered office;
48.30 (3) the name of its registered agent, if any; and
48.31 (4) the name and business address of the officer or other person exercising the
48.32principal functions of president of the corporation.
49.1(d) The timely filing of an annual financial report and audit or an annual financial
49.2statement under section
69.051, subdivision 1 or 1a, by a volunteer firefighter relief
49.3association, as reflected in the notification by the state auditor under section
69.051,
49.4subdivision 1c
, constitutes presentation of the corporate registration. The secretary of state
49.5may reject the registration by the volunteer firefighter relief association. Rejection must
49.6occur if the information provided to the state auditor does not match the information
49.7in the records of the secretary of state. The volunteer firefighter relief association may
49.8amend the articles of incorporation as provided in sections
317A.131 to
317A.151 so
49.9that the information from the state auditor may be accepted for filing. The timely filing
49.10of an annual financial report and audit or an annual financial statement under section
49.1169.051, subdivision 1 or 1a, does not relieve the volunteer firefighter relief association
49.12of the requirement to file amendments to the articles of incorporation directly with the
49.13secretary of state.
49.14EFFECTIVE DATE.This section is effective August 1, 2007.
49.15 Sec. 59. Minnesota Statutes 2006, section 321.0206, is amended to read:
49.16321.0206 DELIVERY TO AND FILING OF RECORDS BY SECRETARY OF
49.17STATE; EFFECTIVE TIME AND DATE.
49.18 (a) A record authorized or required to be delivered to the secretary of state for filing
49.19under this chapter must be captioned to describe the record's purpose, be in a medium
49.20permitted by the secretary of state, and be delivered to the secretary of state. Unless the
49.21secretary of state determines that a record does not comply with the filing requirements
49.22of this chapter, and if the appropriate filing fees have been paid, the secretary of state
49.23shall file the record and:
49.24 (1) for a statement of dissociation, send:
49.25 (A) a copy of the filed statement to the person which the statement indicates has
49.26dissociated as a general partner; and
49.27 (B) a copy of the filed statement to the limited partnership;
49.28 (2) for a statement of withdrawal, send:
49.29 (A) a copy of the filed statement to the person on whose behalf the record was
49.30filed; and
49.31 (B) if the statement refers to an existing limited partnership, a copy of the filed
49.32statement to the limited partnership; and
49.33 (3) for all other records, send a copy of the filed record to the person on whose
49.34behalf the record was filed.
50.1 (b) Upon request and payment of a fee, the secretary of state shall send to the
50.2requester a certified copy of the requested record.
50.3 (c) Except as otherwise provided in sections321.0116 and
321.0207 , a record
50.4delivered to the secretary of state for filing under this chapter may specify an effective
50.5time and a delayed effective date. Except as otherwise provided in this chapter, a record
50.6filed by the secretary of state is effective:
50.7 (1) if the record does not specify an effective time and does not specify a delayed
50.8effective date, on the date and at the time the record is filed as evidenced by the secretary
50.9of state's endorsement of the date and time on the record;
50.10 (2) if the record specifies an effective time but not a delayed effective date, on the
50.11date the record is filed at the time specified in the record;
50.12 (3) if the record specifies a delayed effective date but not an effective time, at 12:01
50.13a.m. on the earlier of:
50.14 (A) the specified date; or
50.15 (B) the 30th day after the record is filed; or
50.16 (4) if the record specifies an effective time and a delayed effective date, at the
50.17specified time on the earlier of:
50.18 (A) the specified date; or
50.19 (B) the 30th day after the record is filed.
50.20 (d) The appropriate fees for filings under this chapter are:
50.21 (1) for filing a certificate of limited partnership, $100;
50.22 (2) for filing an amended certificate of limited partnership, $50;
50.23 (3) for filing any other record, other than the annual report required by section
50.24321.0210, for which no fee must be charged, required or permitted to be delivered for
50.25filing, $35;
50.26 (4) for filing a certificate requesting authority to transact business in Minnesota as a
50.27foreign limited partnership, $85;
50.28 (5) for filing an application of reinstatement, $25;and
50.29 (6) for filing a name reservation for a foreign limited partnership name, $35; and
50.30 (7) for filing any other record, other than the annual report required by section
50.31321.0210, for which no fee must be charged, required or permitted to be delivered for
50.32filing on a foreign limited partnership authorized to transact business in Minnesota, $50.
50.33EFFECTIVE DATE.This section is effective July 1, 2007.
51.1 Sec. 60. Minnesota Statutes 2006, section 321.0210, is amended to read:
51.2321.0210 ANNUAL REPORT FOR SECRETARY OF STATE.
51.3 (a) Subject to subsection (b):
51.4 (1) in each calendar year following the calendar year in which a limited partnership
51.5becomes subject to this chapter, the limited partnership must deliver to the secretary of
51.6state for filing an annual registration containing the information required by subsection
51.7(c); and
51.8 (2) in each calendar year following the calendar year in which there is first on file
51.9with the secretary of state a certificate of authority under section321.0904 pertaining to a
51.10foreign limited partnership, the foreign limited partnership must deliver to the secretary of
51.11state for filing an annual registration containing the information required by subsection (c).
51.12 (b) A limited partnership's obligation under subsection (a) ends if the limited
51.13partnership delivers to the secretary of state for filing a statement of termination under
51.14section321.0203 and the statement becomes effective under section
321.0206 . A foreign
51.15limited partnership's obligation under subsection (a) ends if the secretary of state issues
51.16and files a certificate of revocation under section321.0906 or if the foreign limited
51.17partnership delivers to the secretary of state for filing a notice of cancellation under
51.18section 321.0907(a) and that notice takes effect under section321.0206 . If a foreign
51.19limited partnership's obligations under subsection (a) end and later the secretary of state
51.20files, pursuant to section321.0904 , a new certificate of authority pertaining to that foreign
51.21limited partnership, subsection (a)(2), again applies to the foreign limited partnership and,
51.22for the purposes of subsection (a)(2), the calendar year of the new filing is treated as the
51.23calendar year in which a certificate of authority is first on file with the secretary of state.
51.24 (c) The annual registration must contain:
51.25 (1) the name of the limited partnership or foreign limited partnership;
51.26 (2) the address of its designated office and the name and street and mailing address
51.27of its agent for service of process in Minnesota and, if the agent is not an individual, the
51.28name, street and mailing address, and telephone number of an individual who may be
51.29contacted for purposes other than service of process with respect to the limited partnership;
51.30 (3) in the case of a limited partnership, the street and mailing address of its principal
51.31office; and
51.32 (4) in the case of a foreign limited partnership, the name of the state or other
51.33jurisdiction under whose law the foreign limited partnership is formed and any alternate
51.34name adopted under section 321.0905(a).
51.35 (d) The secretary of state shall:
52.1 (1) administratively dissolve under section321.0809 a limited partnership that has
52.2failed to file a registration pursuant to subsection (a); and
52.3 (2) revoke under section321.0906 the certificate of authority of a foreign limited
52.4partnership that has failed to file a registration pursuant to subsection (a).
52.5 Sec. 61. [321.0909] NAME CHANGES FILED IN HOME STATE.
52.6 A foreign limited partnership shall notify the secretary of state of any changes to the
52.7partnership name filed with the state of formation by filing a certificate from the state of
52.8formation certifying to the change of name.
52.9EFFECTIVE DATE.This section is effective August 1, 2007.
52.10 Sec. 62. Minnesota Statutes 2006, section 323A.1003, is amended to read:
52.11323A.1003 ANNUAL REGISTRATION.
52.12 (a) Each calendar year beginning in the calendar year following the calendar year
52.13in which a partnership files a statement of qualification or in which a foreign partnership
52.14becomes authorized to transact business in this state, the secretary of state must mail by
52.15first class mail an annual registration form to the street address of the partnership's chief
52.16executive office, if located in Minnesota, the office in this state, if the chief executive
52.17office is not located in Minnesota, or address of the registered agent of the partnership
52.18as shown on the records of the secretary of state when the chief executive office is not
52.19located in Minnesota and no other Minnesota office exists. The form must include the
52.20following notice:
52.21 "NOTICE: Failure to file this form by December 31 of this year will result in
52.22the revocation of the statement of qualification of this limited liability partnership
52.23without further notice from the secretary of state pursuant to Minnesota Statutes, section
52.24323A.1003, subsection (d)
."
52.25 (b) A limited liability partnership, and a foreign limited liability partnership
52.26authorized to transact business in this state, shall file an annual registration in the office
52.27of the secretary of state which contains:
52.28 (1) the name of the limited liability partnership and the state or other jurisdiction
52.29under whose laws the foreign limited liability partnership is formed;
52.30 (2) the street address, including the zip code, of the partnership's chief executive
52.31office and, if different, the street address, including the zip code, of an office of the
52.32partnership in this state, if any;and
53.1 (3) if the partnership does not have an office in this state, the name and street address,
53.2including the zip code, of the partnership's current agent for service of process; and
53.3 (4) if the agent for service of process under clause (3) is not an individual, the name,
53.4street address, and telephone number of an individual who may be contacted for purposes
53.5other than service of process with respect to the limited liability partnership.
53.6 (c) An annual registration must be filed once each calendar year beginning in the
53.7year following the calendar year in which a partnership files a statement of qualification or
53.8a foreign partnership becomes authorized to transact business in this state.
53.9 (d) The secretary of state must revoke the statement of qualification of a partnership
53.10that fails to file an annual registration when due or pay the required filing fee. The
53.11secretary of state must issue a certificate of revocation which must be filed in the office
53.12of the secretary of state. The secretary of state must also make available in an electronic
53.13format the names of the revoked limited liability companies.
53.14 (e) A revocation under subsection (d) only affects a partnership's status as a limited
53.15liability partnership and is not an event of dissolution of the partnership.
53.16 (f) A partnership whose statement of qualification has been revoked may apply to
53.17the secretary of state for reinstatement within one year after the effective date of the
53.18revocation. A partnership must file an annual registration to apply for reinstatement and
53.19pay a reinstatement fee of $135.
53.20 (g) A reinstatement under subsection (f) relates back to and takes effect as of
53.21the effective date of the revocation, and the partnership's status as a limited liability
53.22partnership continues as if the revocation had never occurred.
53.23 Sec. 63. Minnesota Statutes 2006, section 336.1-110, is amended to read:
53.24336.1-110 UNIFORM COMMERCIAL CODE ACCOUNT.
53.25 The Uniform Commercial Code account is established as an account in the state
53.26treasury. Fees that are not expressly set by statute but are charged by the secretary of state
53.27to offset the costs of providing a service under this chapter must be deposited in the state
53.28treasury and credited to the Uniform Commercial Code account.
53.29 Fees that are not expressly set by statute but are charged by the secretary of state
53.30to offset the costs of providing information contained in the computerized records
53.31maintained by the secretary of state must be deposited in the state treasury and credited to
53.32the Uniform Commercial Code account.
53.33 Money in the Uniform Commercial Code account is continuously appropriated to the
53.34secretary of state to implement and maintain the central filing system under this chapter,
53.35to provide, improve, and expand other online or remote lien and business entity filing,
54.1retrieval, and payment method services provided by the secretary of state, and to provide
54.2electronic access to other computerized records maintained by the secretary of state.
54.3 Sec. 64. Minnesota Statutes 2006, section 336.9-516, is amended to read:
54.4336.9-516 WHAT CONSTITUTES FILING; EFFECTIVENESS OF FILING.
54.5 (a) What constitutes filing. Except as otherwise provided in subsection (b),
54.6communication of a record to a filing office and tender of the filing fee or acceptance of
54.7the record by the filing office constitutes filing.
54.8 (b) Refusal to accept record; filing does not occur. Filing does not occur with
54.9respect to a record that a filing office refuses to accept because:
54.10 (1) the record is not communicated by a method or medium of communication
54.11authorized by the filing office. For purposes of filing office authorization, transmission of
54.12records using the Extensible Markup Language (XML) format is authorized by the filing
54.13office after the later of July 1, 2007, or the determination of the secretary of state that the
54.14central filing system is capable of receiving and processing these records;
54.15 (2) an amount equal to or greater than the applicable filing fee is not tendered;
54.16 (3) the filing office is unable to index the record because:
54.17 (A) in the case of an initial financing statement, the record does not provide a name
54.18for the debtor;
54.19 (B) in the case of an amendment or correction statement, the record:
54.20 (i) does not identify the initial financing statement as required by section336.9-512
54.21or336.9-518 , as applicable; or
54.22 (ii) identifies an initial financing statement whose effectiveness has lapsed under
54.23section336.9-515 ;
54.24 (C) in the case of an initial financing statement that provides the name of a debtor
54.25identified as an individual or an amendment that provides a name of a debtor identified as
54.26an individual which was not previously provided in the financing statement to which the
54.27record relates, the record does not identify the debtor's last name; or
54.28 (D) in the case of a record filed or recorded in the filing office described in section
54.29336.9-501(a)(1)
, the record does not provide a sufficient description of the real property
54.30to which it relates;
54.31 (4) in the case of an initial financing statement or an amendment that adds a secured
54.32party of record, the record does not provide a name and mailing address for the secured
54.33party of record;
55.1 (5) in the case of an initial financing statement or an amendment that provides a
55.2name of a debtor which was not previously provided in the financing statement to which
55.3the amendment relates, the record does not:
55.4 (A) provide a mailing address for the debtor;
55.5 (B) indicate whether the debtor is an individual or an organization; or
55.6 (C) if the financing statement indicates that the debtor is an organization, provide:
55.7 (i) a type of organization for the debtor;
55.8 (ii) a jurisdiction of organization for the debtor; or
55.9 (iii) an organizational identification number for the debtor or indicate that the debtor
55.10has none;
55.11 (6) in the case of an assignment reflected in an initial financing statement under
55.12section336.9-514(a) or an amendment filed under section
336.9-514(b) , the record does
55.13not provide a name and mailing address for the assignee; or
55.14 (7) in the case of a continuation statement, the record is not filed within the
55.15six-month period prescribed by section336.9-515(d) .
55.16 (c) Rules applicable to subsection (b). For purposes of subsection (b):
55.17 (1) a record does not provide information if the filing office is unable to read or
55.18decipher the information; and
55.19 (2) a record that does not indicate that it is an amendment or identify an initial
55.20financing statement to which it relates, as required by section336.9-512 ,
336.9-514 , or
55.21336.9-518
, is an initial financing statement.
55.22 (d) Refusal to accept record; record effective as filed record. A record that is
55.23communicated to the filing office with tender of the filing fee, but which the filing office
55.24refuses to accept for a reason other than one set forth in subsection (b), is effective as a
55.25filed record except as against a purchaser of the collateral which gives value in reasonable
55.26reliance upon the absence of the record from the files.
55.27EFFECTIVE DATE.This section is effective August 1, 2007.
55.28 Sec. 65. Minnesota Statutes 2006, section 336.9-525, is amended to read:
55.29336.9-525 FEES.
55.30 (a) Initial financing statement or other record: general rule. Except as otherwise
55.31provided in subsection (d), the fee for filing and indexing a record under this partdelivered
55.32on paper is $20 and for a record delivered by any electronic means is $15. $5 of the
55.33fee collected for each filing made online must be deposited in the uniform commercial
55.34code account.
56.1 (b) Number of names. The number of names required to be indexed does not
56.2affect the amount of the fee in subsection (a).
56.3 (c) Response to information request. The fee for responding to a request for
56.4information from the filing office, including for issuing a certificate showing whether there
56.5is on file any financing statement naming a particular debtor,delivered on paper is $20
56.6and for a record delivered by any electronic means is $15. $5 of the fee collected for each
56.7request delivered online must be deposited in the uniform commercial code account.
56.8 (d) Record of mortgage. This section does not require a fee with respect to a record
56.9of a mortgage which is effective as a financing statement filed as a fixture filing or as a
56.10financing statement covering as-extracted collateral or timber to be cut under section
56.11336.9-502(c)
. However, the recording and satisfaction fees that otherwise would be
56.12applicable to the record of the mortgage apply.
56.13 Sec. 66. Minnesota Statutes 2006, section 358.41, is amended to read:
56.14358.41 DEFINITIONS.
56.15 As used in sections358.41 to
358.49 :
56.16 (1) "Notarial act" means any act that a notary public of this state is authorized to
56.17perform, and includes taking an acknowledgment, administering an oath or affirmation,
56.18taking a verification upon oath or affirmation, witnessing or attesting a signature, certifying
56.19or attesting a copy, and noting a protest of a negotiable instrument. A notary public may
56.20perform a notarial act by electronic means.
56.21 (2) "Acknowledgment" means a declaration by a person that the person has executed
56.22an instrument or electronic record for the purposes stated therein and, if the instrument
56.23or electronic record is executed in a representative capacity, that the person signed
56.24the instrument with proper authority and executed it as the act of the person or entity
56.25represented and identified therein.
56.26 (3) "Verification upon oath or affirmation" means a declaration that a statement is
56.27true made by a person upon oath or affirmation.
56.28 (4) "In a representative capacity" means:
56.29 (i) for and on behalf of a corporation, partnership, limited liability company, trust, or
56.30other entity, as an authorized officer, agent, partner, trustee, or other representative;
56.31 (ii) as a public officer, personal representative, guardian, or other representative,
56.32in the capacity recited in the instrument;
56.33 (iii) as an attorney in fact for a principal; or
56.34 (iv) in any other capacity as an authorized representative of another.
57.1 (5) "Notarial officer" means a notary public or other officer authorized to perform
57.2notarial acts.
57.3 (6) "Electronic signature" means an electronic sound, symbol, or process attached
57.4to or logically associated with a record and executed or adopted by a person with the
57.5intent to sign the record.
57.6 (7) "Electronic record" means a record created, generated, sent, communicated,
57.7received, or stored by electronic means.
57.8EFFECTIVE DATE.This section is effective August 1, 2007.
57.9 Sec. 67. Minnesota Statutes 2006, section 358.42, is amended to read:
57.10358.42 NOTARIAL ACTS.
57.11 (a) In taking an acknowledgment, the notarial officer must determine, either from
57.12personal knowledge or from satisfactory evidence, that the person appearing before the
57.13officer and making the acknowledgment is the person whose true signature is on the
57.14instrument or electronic record.
57.15 (b) In taking a verification upon oath or affirmation, the notarial officer must
57.16determine, either from personal knowledge or from satisfactory evidence, that the person
57.17appearing before the officer and making the verification is the person whose true signature
57.18is made in the presence of the officer on the statement verified.
57.19 (c) In witnessing or attesting a signature the notarial officer must determine, either
57.20from personal knowledge or from satisfactory evidence, that the signature is that of the
57.21person appearing before the officer and named therein. When witnessing or attesting a
57.22signature, the officer must be present when the signature is made.
57.23 (d) In certifying or attesting a copy of a document, electronic record, or other item,
57.24the notarial officer must determine that the proffered copy is a full, true, and accurate
57.25transcription or reproduction of that which was copied.
57.26 (e) In making or noting a protest of a negotiable instrument or electronic record the
57.27notarial officer must determine the matters set forth in section336.3-505 .
57.28 (f) A notarial officer has satisfactory evidence that a person is the person whose true
57.29signature is on a document or electronic record if that person (i) is personally known to
57.30the notarial officer, (ii) is identified upon the oath or affirmation of a credible witness
57.31personally known to the notarial officer, or (iii) is identified on the basis of identification
57.32documents.
57.33EFFECTIVE DATE.This section is effective August 1, 2007.
58.1 Sec. 68. Minnesota Statutes 2006, section 358.50, is amended to read:
58.2358.50 EFFECT OF ACKNOWLEDGMENT.
58.3 An acknowledgment made in a representative capacity for and on behalf of a
58.4corporation, partnership, limited liability company, trust, or other entity and certified
58.5substantially in the form prescribed in this chapter is prima facie evidence that the
58.6instrument or electronic record was executed and delivered with proper authority.
58.7EFFECTIVE DATE.This section is effective August 1, 2007.
58.8 Sec. 69. Minnesota Statutes 2006, section 359.085, subdivision 2, is amended to read:
58.9 Subd. 2. Verifications. In taking a verification upon oath or affirmation, the notarial
58.10officer must determine, either from personal knowledge or from satisfactory evidence, that
58.11the person appearing before the officer and making the verification is the person whose
58.12true signature is made in the presence of the officer on the statement verified.
58.13EFFECTIVE DATE.This section is effective August 1, 2007.
58.14 Sec. 70. Minnesota Statutes 2006, section 359.085, subdivision 3, is amended to read:
58.15 Subd. 3. Witnessing or attesting signatures. In witnessing or attesting a signature,
58.16the notarial officer must determine, either from personal knowledge or from satisfactory
58.17evidence, that the signature is that of the person appearing before the officer and named in
58.18the document or electronic record. When witnessing or attesting a signature, the officer
58.19must be present when the signature is made.
58.20EFFECTIVE DATE.This section is effective August 1, 2007.
58.21 Sec. 71. Minnesota Statutes 2006, section 477A.014, subdivision 4, is amended to read:
58.22 Subd. 4. Costs. The director of the Office of Strategic and Long-Range Planning
58.23shall annually bill the commissioner of revenue for one-half of the costs incurred by the
58.24state demographer in the preparation of materials required by section4A.02 . The state
58.25auditor shall bill the commissioner of revenue for the costs of best practices reviews
58.26and the services provided by the Government Information Division and the parts of the
58.27constitutional office that are related to the government information function, and for
58.28the services provided by the Tax Increment Financing Investment and Finance Division
58.29required by section 469.3201, not to exceed$217,000 $614,000 each fiscal year. The
58.30commissioner of administration shall bill the commissioner of revenue for the costs of
58.31the local government records program and the intergovernmental information systems
59.1activity, not to exceed $205,800 each fiscal year. The commissioner of employee relations
59.2shall bill the commissioner of revenue for the costs of administering the local government
59.3pay equity function, not to exceed $55,000 each fiscal year.
59.4 Sec. 72. Minnesota Statutes 2006, section 491A.02, subdivision 4, is amended to read:
59.5 Subd. 4. Representation. (a) A corporation, partnership, limited liability company,
59.6sole proprietorship, or association may be represented in conciliation court by an officer,
59.7manager, or partner or an agent in the case of a condominium, cooperative, or townhouse
59.8association, or may appoint a natural person who is an employee or commercial property
59.9manager to appear on its behalf or settle a claim in conciliation court. The state or a
59.10political subdivision of the state may be represented in conciliation court by an employee
59.11of the pertinent governmental unit without a written authorization. The state also may be
59.12represented in conciliation court by an employee of the Division of Risk Management of
59.13the Department of Administration without a written authorization. Representation under
59.14this subdivision does not constitute the practice of law for purposes of section481.02,
59.15subdivision 8 . In the case of an officer, employee, commercial property manager, or
59.16agent of a condominium, cooperative, or townhouse association, an authorized power
59.17of attorney, corporate authorization resolution, corporate bylaw, or other evidence of
59.18authority acceptable to the court must be filed with the claim or presented at the hearing.
59.19This subdivision also applies to appearances in district court by a corporation or limited
59.20liability company with five or fewer shareholders or members and to any condominium,
59.21cooperative, or townhouse association, if the action was removed from conciliation court.
59.22 (b) "Commercial property manager" means a corporation, partnership, or limited
59.23liability company or its employees who are hired by the owner of commercial real
59.24estate to perform a broad range of administrative duties at the property including tenant
59.25relations matters, leasing, repairs, maintenance, the negotiation and resolution of tenant
59.26disputes, and related matters. In order to appear in conciliation court, a property manager's
59.27employees must possess a real estate license under section82.20 and be authorized by the
59.28owner of the property to settle all disputes with tenants and others within the jurisdictional
59.29limits of conciliation court.
59.30 (c) A commercial property manager who is appointed to settle a claim in conciliation
59.31court may not charge or collect a separate fee for services rendered under paragraph (a).
59.32 Sec. 73. Minnesota Statutes 2006, section 507.24, subdivision 2, is amended to read:
59.33 Subd. 2. Original signatures required. (a) Unless otherwise provided by law, an
59.34instrument affecting real estate that is to be recorded as provided in this section or other
60.1applicable law must contain the original signatures of the parties who execute it and of the
60.2notary public or other officer taking an acknowledgment. However, a financing statement
60.3that is recorded as a filing pursuant to section336.9-502(b) need not contain: (1) the
60.4signatures of the debtor or the secured party; or (2) an acknowledgment.
60.5 (b)(1) Any electronic instruments, including signatures and seals, affecting real
60.6estate may only be recorded as part of a pilot project for the electronic filing of real
60.7estate documents implemented by the task force created in Laws 2000, chapter 391, or
60.8by the Electronic Real Estate Recording Task Force created under section507.094 . The
60.9Electronic Real Estate Recording Task Force created under section 507.094 may amend
60.10standards set by the task force created in Laws 2000, chapter 391, and may set new or
60.11additional standards and establish pilot projects to the full extent permitted in section
60.12507.094, subdivision 2, paragraph (b). Documents recorded in conformity with those
60.13standards and in those pilot projects are deemed to meet the requirements of this section.
60.14 (2)(i) A county that participated in the pilot project for the electronic filing of real
60.15estate documents under the task force created in Laws 2000, chapter 391, may continue to
60.16record or file documents electronically, if:
60.17(1) (A) the county complies with standards adopted by the task force; and
60.18(2) (B) the county uses software that was validated by the task force.
60.19 (ii) A county that did not participate in the pilot project may record or file a real
60.20estate document electronically, if:
60.21(i) (A) the document to be recorded or filed is of a type included in the pilot project
60.22for the electronic filing of real estate documents under the task force created in Laws
60.232000, chapter 391;
60.24(ii) (B) the county complies with the standards adopted by the task force;
60.25(iii) (C) the county uses software that was validated by the task force; and
60.26(iv) (D) the task force created under section
507.094 , votes to accept a written
60.27certification of compliance with paragraph (b), clause (2), of this section by the county
60.28board and county recorder of the county to implement electronic filing under this section.
60.29 (c) Notices filed pursuant to section168A.141, subdivisions 1 and 3 , need not
60.30contain an acknowledgment.
60.31 Sec. 74. Minnesota Statutes 2006, section 517.08, subdivision 1b, is amended to read:
60.32 Subd. 1b. Term of license; fee; premarital education. (a) The local registrar
60.33shall examine upon oath the party applying for a license relative to the legality of the
60.34contemplated marriage. If at the expiration of a five-day period, on being satisfied that
60.35there is no legal impediment to it, including the restriction contained in section259.13 , the
61.1local registrar shall issue the license, containing the full names of the parties before and
61.2after marriage, and county and state of residence, with the county seal attached, and make a
61.3record of the date of issuance. The license shall be valid for a period of six months. In case
61.4of emergency or extraordinary circumstances, a judge of the district court of the county in
61.5which the application is made, may authorize the license to be issued at any time before
61.6the expiration of the five days. Except as provided in paragraph (b), the local registrar shall
61.7collect from the applicant a fee of$100 $110 for administering the oath, issuing, recording,
61.8and filing all papers required, and preparing and transmitting to the state registrar of vital
61.9statistics the reports of marriage required by this section. If the license should not be used
61.10within the period of six months due to illness or other extenuating circumstances, it may
61.11be surrendered to the local registrar for cancellation, and in that case a new license shall
61.12issue upon request of the parties of the original license without fee. A local registrar who
61.13knowingly issues or signs a marriage license in any manner other than as provided in this
61.14section shall pay to the parties aggrieved an amount not to exceed $1,000.
61.15 (b) The marriage license fee for parties who have completed at least 12 hours of
61.16premarital education is$30 $40. In order to qualify for the reduced license fee, the
61.17parties must submit at the time of applying for the marriage license a signed and dated
61.18statement from the person who provided the premarital education confirming that it was
61.19received. The premarital education must be provided by a licensed or ordained minister
61.20or the minister's designee, a person authorized to solemnize marriages under section
61.21517.18
, or a person authorized to practice marriage and family therapy under section
61.22148B.33
. The education must include the use of a premarital inventory and the teaching of
61.23communication and conflict management skills.
61.24 (c) The statement from the person who provided the premarital education under
61.25paragraph (b) must be in the following form:
61.26 "I, (name of educator), confirm that (names of both parties) received at least 12
61.27hours of premarital education that included the use of a premarital inventory and the
61.28teaching of communication and conflict management skills. I am a licensed or ordained
61.29minister, a person authorized to solemnize marriages under Minnesota Statutes, section
61.30517.18
, or a person licensed to practice marriage and family therapy under Minnesota
61.31Statutes, section 148B.33."
61.32 The names of the parties in the educator's statement must be identical to the legal
61.33names of the parties as they appear in the marriage license application. Notwithstanding
61.34section138.17 , the educator's statement must be retained for seven years, after which
61.35time it may be destroyed.
62.1 (d) If section259.13 applies to the request for a marriage license, the local registrar
62.2shall grant the marriage license without the requested name change. Alternatively, the local
62.3registrar may delay the granting of the marriage license until the party with the conviction:
62.4 (1) certifies under oath that 30 days have passed since service of the notice for a
62.5name change upon the prosecuting authority and, if applicable, the attorney general and no
62.6objection has been filed under section259.13 ; or
62.7 (2) provides a certified copy of the court order granting it. The parties seeking the
62.8marriage license shall have the right to choose to have the license granted without the
62.9name change or to delay its granting pending further action on the name change request.
62.10 Sec. 75. Minnesota Statutes 2006, section 517.08, subdivision 1c, is amended to read:
62.11 Subd. 1c. Disposition of license fee. (a) Of the marriage license fee collected
62.12pursuant to subdivision 1b, paragraph (a),$15 $25 must be retained by the county. The
62.13local registrar must pay $85 to the commissioner of finance to be deposited as follows:
62.14 (1) $50 in the general fund;
62.15 (2) $3 in the special revenue fund to be appropriated to the commissioner of
62.16education for parenting time centers under section119A.37 ;
62.17 (3) $2 in the special revenue fund to be appropriated to the commissioner of health
62.18for developing and implementing the MN ENABL program under section145.9255 ;
62.19 (4) $25 in the special revenue fund is appropriated to the commissioner of
62.20employment and economic development for the displaced homemaker program under
62.21section116L.96 ; and
62.22 (5) $5 in the special revenue fund is appropriated to the commissioner of human
62.23services for the Minnesota Healthy Marriage and Responsible Fatherhood Initiative under
62.24section256.742 .
62.25 (b) Of the$30 $40 fee under subdivision 1b, paragraph (b), $15 $25 must be retained
62.26by the county. The local registrar must pay $15 to the commissioner of finance to be
62.27deposited as follows:
62.28 (1) $5 as provided in paragraph (a), clauses (2) and (3); and
62.29 (2) $10 in the special revenue fund is appropriated to the commissioner of
62.30employment and economic development for the displaced homemaker program under
62.31section116L.96 .
62.32 (c) The increase in the marriage license fee under paragraph (a) provided for in Laws
62.332004, chapter 273, and disbursement of the increase in that fee to the special fund for the
62.34Minnesota Healthy Marriage and Responsible Fatherhood Initiative under paragraph (a),
63.1clause (5), is contingent upon the receipt of federal funding under United States Code, title
63.242, section 1315, for purposes of the initiative.
63.3 Sec. 76. Laws 2005, chapter 156, article 2, section 45, is amended to read:
63.4 Sec. 45. SALE OF STATE LAND.
63.5 Subdivision 1. State land sales. The commissioner of administration shall
63.6coordinate with the head of each department or agency having control of state-owned land
63.7to identify and sell at least $6,440,000 of state-owned land. Sales should be completed
63.8according to law and as provided in this section as soon as practicable but no later than
63.9June 30,2007 2009. Notwithstanding Minnesota Statutes, sections
16B.281 and
16B.282 ,
63.1094.09
and
94.10 , or any other law to the contrary, the commissioner may offer land
63.11for public sale by only providing notice of lands or an offer of sale of lands to state
63.12departments or agencies, the University of Minnesota, cities, counties, towns, school
63.13districts, or other public entities.
63.14 Subd. 2. Anticipated savings. Notwithstanding Minnesota Statutes, section
63.1594.16, subdivision 3
, or other law to the contrary, the amount of the proceeds from the
63.16sale of land under this section that exceeds the actual expenses of selling the land must
63.17be deposited in the general fund, except as otherwise provided by the commissioner of
63.18finance. Notwithstanding Minnesota Statutes, section94.11 or
16B.283 , the commissioner
63.19of finance may establish the timing of payments for land purchased under this section. If
63.20the total of all money deposited into the general fund from the proceeds of the sale of land
63.21under this section is anticipated to be less than $6,440,000, the governor must allocate the
63.22amount of the difference as reductions to general fund operating expenditures for other
63.23executive agencies for the biennium ending June 30,2007 2009.
63.24 Subd. 3. Sale of state lands revolving loan fund. $290,000 is appropriated from
63.25the general fund in fiscal year 2006 to the commissioner of administration for purposes
63.26of paying the actual expenses of selling state-owned lands to achieve the anticipated
63.27savings required in this section. From the gross proceeds of land sales under this section,
63.28the commissioner of administration must cancel the amount of the appropriation in this
63.29subdivision to the general fund by June 30,2007 2009.
63.30 Sec. 77. Laws 2006, chapter 253, section 22, subdivision 1, is amended to read:
63.31 Subdivision 1. Genetic information; work group. (a) The commissioner must
63.32create a work group to develop principles for public policy on the use of genetic
63.33information. The work group must include representatives of state government, including
63.34the judicial branch, local government, prosecutors, public defenders, the American Civil
64.1Liberties Union - Minnesota, the Citizens Council on Health Care, the University of
64.2Minnesota Center on Bioethics, the Minnesota Medical Association, the Mayo Clinic
64.3and Foundation, the March of Dimes, and representatives of employers, researchers,
64.4epidemiologists, laboratories, and insurance companies.
64.5 (b) The commissioner of administration and the work group must conduct reviews
64.6of the topics in paragraphs (c) to (f), in light of the issues raised in the report on treatment
64.7of genetic information under state law required by Laws 2005, chapter 163, section 87.
64.8The commissioner must report the results, including any recommendations for legislative
64.9changes, to the chairs of the house Civil Law Committee and the senate Judiciary
64.10Committee and the ranking minority members of those committees by January 15,2008
64.112009.
64.12 (c) The commissioner and the work group must determine whether changes are
64.13needed in Minnesota Statutes, section144.69 , dealing with collection of information
64.14from cancer patients and their relatives.
64.15 (d) The commissioner and the work group must make recommendations whether
64.16all relatives affected by a formal three-generation pedigree created by the Department of
64.17Health should be able to access the entire data set, rather than only allowing individuals
64.18access to the data of which they are the subject.
64.19 (e) The commissioner and the work group must identify, and may make
64.20recommendations among, options for resolving questions of secondary uses of genetic
64.21information.
64.22 (f) The commissioner and the work group must make recommendations whether
64.23legislative changes are needed regarding access to DNA test results and the specimens
64.24used to create the test results held by the Bureau of Criminal Apprehension as part of
64.25a criminal investigation.
64.26 Sec. 78. Laws 2006, chapter 282, article 14, section 5, is amended to read:
64.29From the workers' compensation fund for
64.30costs associated with the relocation of
64.31offices to St. Paul. The commissioner
64.32of administration shall take all steps as
64.33necessary to complete the renovation of
64.34the Stassen Building for these purposes by
64.35January 1, 2008. Minnesota Statutes, section
65.116B.33, subdivision 3
, does not apply if
65.2the estimated cost of construction exceeds
65.3$2,000,000. This is a onetime appropriation.
65.4This appropriation is available until spent.
65.5Beginning in fiscal year 2009 and for all
65.6fiscal years thereafter, the appropriation base
65.7for the workers' compensation fund for the
65.8Office of Administrative Hearings is reduced
65.9by $297,000 to reflect savings in rent costs
65.10due to the relocation of offices to St. Paul.
65.11EFFECTIVE DATE.This section is effective the day following final enactment.
65.12 Sec. 79. FORD BUILDING.
65.13 The Ford Building at 117 University Avenue in St. Paul may not be demolished
65.14during the biennium ending June 30, 2009.
65.15 Sec. 80. ELECTRONIC DOCUMENTS STUDY AND REPORT.
65.16 Subdivision 1. Study. The chief information officer of the state, in consultation with
65.17the state archivist and legislative reference librarian, shall study how electronic documents
65.18and the mechanisms and processes for accessing and reading electronic data can be created,
65.19maintained, exchanged, and preserved by the state in a manner that encourages appropriate
65.20government control, access, choice, and interoperability. The study must consider, but
65.21not be limited to, the policies of other states and nations, management guidelines for state
65.22archives as they pertain to electronic documents, public access to information, expected
65.23storage life of electronic documents, costs of implementation, and potential savings. The
65.24chief information officer shall solicit comments from stakeholders, including, but not
65.25limited to, the legislative auditor, attorney general, librarians, state services for the blind,
65.26representatives of the Minnesota Historical Society, other historians, and the media. The
65.27chief information officer shall also solicit comments from members of the public.
65.28 Subd. 2. Report and recommendations. The chief information officer shall
65.29report the officer's findings and recommendations to the chairs of the senate State and
65.30Local Government Operations and Oversight Committee; the house of representatives
65.31Government Operations, Reform, Technology and Elections Committee; and the senate
65.32and house of representatives State Government Finance Divisions by January 15, 2008.
66.1 Sec. 81. STATE EMPLOYEES ELECTRONIC HEALTH RECORDS PILOT
66.2PROJECT.
66.3 Subdivision 1. Project established. The Minnesota State Colleges and Universities
66.4Board of Trustees (MnSCU), in collaboration with the commissioner of employee relations
66.5shall establish an enterprise-wide pilot project to provide consumer-owned electronic
66.6personal health records to MnSCU employees and all participants in the state employee
66.7group insurance program. If the Department of Employee Relations is abolished, then the
66.8Minnesota State Colleges and Universities Board of Trustees shall work in collaboration
66.9with the commissioner of the department responsible for administration of the state
66.10employee group insurance program.
66.11 Subd. 2. Project goals. The goal of the project is to provide consumer-owned
66.12electronic personal health records that are portable among health care providers, health
66.13plan companies, and employers in order to control costs, improve quality, and enhance
66.14safety, and to demonstrate the feasibility of a statewide health information exchange.
66.15The pilot project shall coordinate to the extent possible with other health information
66.16consumer engagement initiatives in Minnesota designed to support the goal of statewide
66.17health information exchange. The electronic personal health records may provide, but
66.18are not limited to, the following:
66.19 (1) access to electronic medical records;
66.20 (2) prescription and appointment information;
66.21 (3) information regarding health education, public health, and health cost
66.22management; and
66.23 (4) privacy, security, and compliance with HIPAA; Minnesota Statutes, chapter 13;
66.24Minnesota Statutes, section 144.335; and other state law related to data privacy.
66.25 Sec. 82. SUSTAINABLE GROWTH WORKING GROUP.
66.26 Subdivision 1. Creation. The sustainable growth working group consists of the
66.27following members:
66.28 (1) two senators, including one member of the minority caucus, appointed by the
66.29Subcommittee on Committees of the Committee on Rules and Administration;
66.30 (2) two members of the house of representatives, one appointed by the speaker
66.31and one appointed by the minority leader;
66.32 (3) commissioners of the following agencies, or their designees: Department of
66.33Natural Resources, Department of Transportation, Department of Employment and
66.34Economic Development, Minnesota Housing Finance Agency, and the Minnesota
67.1Pollution Control Agency; and the chair of the Metropolitan Council or the chair's
67.2designee;
67.3 (4) up to 12 public members who have an interest in promoting sustainable
67.4communities in Minnesota, including up to six public members appointed by the speaker
67.5of the house of representatives and up to six public members appointed by the majority
67.6leader of the senate. The appointing authorities must use their best efforts to include at
67.7least one representative from each of the following sectors: business, environmental,
67.8energy, affordable housing, transportation, local government, planning, and philanthropic.
67.9 The membership of the working group must include balanced representation from
67.10rural, urban, and suburban areas of the state. The commissioners of administration,
67.11agriculture, and commerce must consult with and advise the working group in the
67.12development of its recommendations.
67.13 Subd. 2. Duties. The working group must identify strategies, recommendations, and
67.14a process for implementing state-level coordination of state and local policies, programs,
67.15and regulations in the areas of housing, transportation, natural resource preservation,
67.16capital development, economic development, sustainability, and preservation of the
67.17environment. The working group must identify sustainable development principles that
67.18will guide decision making in Minnesota. The working group must gather information
67.19and develop strategies relative to the strategic use of state resources, to be consistent with
67.20statewide goals of sustainable development. The working group must report proposed
67.21strategies, recommendations, and a process for implementation to the legislature and the
67.22governor by February 1, 2008. In its report to the legislature and the governor, the working
67.23group must identify its source of funding.
67.24 Subd. 3. Administrative provisions. (a) The commissioner of administration
67.25must convene the initial meeting. Upon request of the working group, the commissioner
67.26must provide meeting space and administrative services for the group. The Office of
67.27Geographic and Demographic Analysis must provide staff support for the working group.
67.28The members of the working group must elect a chair.
67.29 (b) Members of the working group serve without compensation but may be
67.30reimbursed for expenses under Minnesota Statutes, section 15.059.
67.31 (c) The working group expires June 30, 2008.
67.32 (d) The working group may accept gifts and grants, which are accepted on behalf
67.33of the state and constitute donations to the state. Funds received are appropriated to the
67.34commissioner of administration for purposes of the working group.
67.35 Sec. 83. TRAINING SERVICES.
68.1 During the biennium ending June 30, 2009, state executive branch agencies must
68.2consider using services provided by government training services before contracting with
68.3other outside vendors for similar services.
68.4 Sec. 84. DEPARTMENT OF EMPLOYEE RELATIONS ABOLISHED; DUTIES
68.5TRANSFERRED.
68.6 (a) The Department of Employee Relations and the position of the commissioner
68.7of employee relations are abolished as of June 1, 2008. Duties of the Department of
68.8Employee Relations and the commissioner of employee relations are transferred on or
68.9before June 1, 2008, to the commissioner of finance, except as follows:
68.10 (1) duties relating to administration of the state employees workers' compensation
68.11program are transferred on or before June 1, 2008, to the commissioner of administration;
68.12and
68.13 (2) duties relating to health care purchasing improvement under Minnesota Statutes,
68.14section 43A.312, are transferred on or before June 1, 2008, to the commissioner of health.
68.15 (b) The commissioner of employee relations, in consultation with the commissioner
68.16of finance, may specify one or more dates before June 1, 2008, on which any or all of the
68.17transfers provided in paragraph (a) will occur.
68.18 (c) The governor may, in consultation with the commissioner of employee relations,
68.19the commissioner of finance, the commissioner of administration, and the director of the
68.20Office of Enterprise Technology, transfer other duties of the Department of Employee
68.21Relations to other state agencies in order to most effectively and efficiently accomplish the
68.22reorganization required by this act.
68.23 (d) Transfer of duties under this section is subject to Minnesota Statutes, section
68.2415.039.
68.25 (e) In addition to any other protection, no employee in the classified service shall
68.26suffer job loss, have a salary reduced, or have employment benefits reduced as a result of
68.27a reorganization mandated or recommended under authority of this section. No action
68.28taken after June 1, 2009, shall be considered a result of reorganization for the purposes
68.29of this section.
68.30EFFECTIVE DATE.This section is effective the day following final enactment.
68.31 Sec. 85. STATE BUDGET TRENDS STUDY COMMISSION.
68.32 (a) The State Budget Trends Study Commission is established for the purpose
68.33of completing a study of the implications of state demographic trends for future state
68.34budget conditions, including both expected revenue collections and spending for state
69.1government services and local services supported by state revenues. The commission
69.2shall consist of 15 public members, including five members appointed by the governor;
69.3five members appointed by the senate Subcommittee on Committees of the Committee
69.4on Rules and Administration; four members appointed by the speaker of the house of
69.5representatives; and one member appointed by the minority leader of the house of
69.6representatives. The respective appointing authorities must complete their appointments
69.7under this section within 30 days of the effective date of this section. The commissioner of
69.8finance must convene the commission within 30 days of the completion of appointments
69.9under this section. The members shall select their chair at the first meeting. When making
69.10appointments under this section, the appointing authorities must consider the education
69.11and expertise of appointees in fields such as public finance, demography, and public
69.12administration.
69.13 (b) Per diem and expense payments to members, removal of members, and vacancies
69.14are governed by Minnesota Statutes, section 15.059.
69.15 (c) The commissioners of finance and revenue must provide data, analysis, and staff
69.16support required by the commission to complete the study, including, but not limited to,
69.17the effect of expected demographic changes over the next 25 years on state tax bases and
69.18on existing state programs and appropriations. In preparing the study, the commission
69.19shall consult with and use the services of the state demographer to estimate the changing
69.20profile of the Minnesota population by age and other factors relevant to the study. The
69.21commission may also contract with appropriate consultants and experts as needed to
69.22complete the study.
69.23 (d) In completing the study, the commission must consider:
69.24 (1) the effect of expected demographic changes over the next 25 years on the tax
69.25base and revenue collections for state income and sales tax, or other state taxes;
69.26 (2) estimates of tax revenue collections for the years 2012, 2017, 2022, 2027, and
69.272032, taking into account the sensitivity of the results for changes in estimated migration
69.28rates, labor force participation by older individuals, and other shares of capital versus labor;
69.29 (3) the effect of demographic trends on entitlement programs and other large state
69.30appropriations relative to current budget commitments;
69.31 (4) relative trends in spending for state programs including trends identified in the
69.32fast growing expenditures report completed under Minnesota Statutes, section 16A.103,
69.33subdivision 4; and
69.34 (5) the structure of the state budget with regard to budget stability and flexibility.
69.35 (e) The commission may make recommendations for state tax or budget policy
69.36changes, including recommendations for changes in tax base, mix of tax types, state
70.1and local finance relationships, entitlements, or budget structure. The commission shall
70.2present preliminary results to the chairs of the legislative committees with jurisdiction
70.3over finance and taxes by February 1, 2008, and a final written report to the same chairs by
70.4January 15, 2009, in compliance with Minnesota Statutes, sections 3.195 and 3.197.
70.5 (f) This section expires on June 30, 2009.
70.6 Sec. 86. REVISOR'S INSTRUCTION.
70.7 In the next and subsequent editions of Minnesota Statutes and Minnesota Rules, the
70.8revisor of statutes must replace references to the Department of Employee Relations and
70.9commissioner of employee relations with references to the appropriate department and
70.10commissioner specified in section 86. The revisor of statutes, in consultation with affected
70.11commissioners of state agencies, must prepare a bill for introduction in the 2008 legislative
70.12session making other statutory changes needed to implement or conform with section 86.
70.13EFFECTIVE DATE.This section is effective the day following final enactment.
70.14 Sec. 87. REPEALER.
70.15Minnesota Statutes 2006, sections 16A.102, subdivisions 1, 2, and 3; 16B.055,
70.16subdivisions 2 and 3; 16C.055, subdivision 1; 16C.08, subdivision 4a; 69.051, subdivision
70.171c; and 359.085, subdivision 8, are repealed.
70.20 Section 1. Minnesota Statutes 2006, section 16C.02, is amended by adding a
70.21subdivision to read:
70.22 Subd. 4a. Best value; construction. For purposes of construction, building,
70.23alteration, improvement, or repair services, "best value" describes the result determined by
70.24a procurement method that considers price and performance criteria, which may include,
70.25but are not limited to:
70.26 (1) the quality of the vendor's or contractor's performance on previous projects;
70.27 (2) the timeliness of the vendor's or contractor's performance on previous projects;
70.28 (3) the level of customer satisfaction with the vendor's or contractor's performance
70.29on previous projects;
70.30 (4) the vendor's or contractor's record of performing previous projects on budget and
70.31ability to minimize cost overruns;
70.32 (5) the vendor's or contractor's ability to minimize change orders;
71.1 (6) the vendor's or contractor's ability to prepare appropriate project plans;
71.2 (7) the vendor's or contractor's technical capacities;
71.3 (8) the individual qualifications of the contractor's key personnel; or
71.4 (9) the vendor's or contractor's ability to assess and minimize risks.
71.5 "Performance on previous projects" does not include the exercise or assertion of a
71.6person's legal rights. This definition does not apply to sections 16C.32, 16C.33, 16C.34,
71.7and 16C.35.
71.8 Sec. 2. Minnesota Statutes 2006, section 16C.02, is amended by adding a subdivision
71.9to read:
71.10 Subd. 20. Vendor. "Vendor" means a business, including a construction contractor
71.11or a natural person, and includes both if the natural person is engaged in a business.
71.12 Sec. 3. Minnesota Statutes 2006, section 16C.03, subdivision 3, is amended to read:
71.13 Subd. 3. Acquisition authority. The commissioner shall acquire all goods, services,
71.14and utilities needed by agencies. The commissioner shall acquire goods, services, and
71.15utilities by requests for bids, requests for proposals, reverse auctions as provided in
71.16section16C.10, subdivision 7 , or other methods provided by law, unless a section of law
71.17requires a particular method of acquisition to be used. The commissioner shall make all
71.18decisions regarding acquisition activities. The determination of the acquisition method
71.19and all decisions involved in the acquisition process, unless otherwise provided for by
71.20law, shall be based on best value which includes an evaluation of price and may include
71.21other considerations including, but not limited to, environmental considerations, quality,
71.22and vendor performance. A best value determination must be based on the evaluation
71.23criteria detailed in the solicitation document. If criteria other than price are used, the
71.24solicitation document must state the relative importance of price and other factors.Unless
71.25it is determined by the commissioner that an alternative solicitation method provided by
71.26law should be used to determine best value, a request for bid must be used to solicit
71.27formal responses for all building and construction contracts. Any or all responses may
71.28be rejected. When using the request for bid process, the bid must be awarded to the
71.29lowest responsive and responsible bidder, taking into consideration conformity with
71.30the specifications, terms of delivery, the purpose for which the contract or purchase is
71.31intended, the status and capability of the vendor, and other considerations imposed in the
71.32request for bids. The commissioner may decide which is the lowest responsible bidder
71.33for all purchases and may use the principles of life-cycle costing, where appropriate, in
72.1determining the lowest overall bid. The duties set forth in this subdivision are subject to
72.2delegation pursuant to this section.
72.3 Sec. 4. Minnesota Statutes 2006, section 16C.03, is amended by adding a subdivision
72.4to read:
72.5 Subd. 3a. Acquisition authority; construction contracts. For all building and
72.6construction contracts, the commissioner shall award contracts pursuant to section
72.716C.28, and "best value" shall be defined and applied as set forth in sections 16C.02,
72.8subdivision 4a, and 16C.28, subdivision 1, paragraph (a), clause (2), and paragraph (c).
72.9The duties set forth in this subdivision are subject to delegation pursuant to this section.
72.10The commissioner shall establish procedures for developing and awarding best value
72.11requests for proposals for construction projects. The criteria to be used to evaluate the
72.12proposals must be included in the solicitation document and must be evaluated in an open
72.13and competitive manner.
72.14 Sec. 5. Minnesota Statutes 2006, section 16C.03, is amended by adding a subdivision
72.15to read:
72.16 Subd. 19. Training. Any personnel administering procurement procedures for a
72.17user of best value procurement or any consultant retained by a local unit of government to
72.18prepare or evaluate solicitation documents must be trained, either by the department or
72.19through other training, in the request for proposals process for best value contracting for
72.20construction projects. The commissioner may establish a training program for state and
72.21local officials, and vendors and contractors, on best value procurement for construction
72.22projects, including those governed by section 16C.28. If the commissioner establishes
72.23such a training program, the state may charge a fee for providing training.
72.24 Sec. 6. Minnesota Statutes 2006, section 16C.26, is amended to read:
72.2516C.26 COMPETITIVE BIDS OR PROPOSALS.
72.26 Subdivision 1. Application. Except as otherwise provided by sections 16C.10,
72.2716C.26
and
16C.27 , all contracts for building and construction or repairs must be based on
72.28competitive bids or proposals. "Competitive proposals" specifically refers to the method
72.29of procurement described in section 16C.28, subdivision 1, paragraph (a), clause (2),
72.30and paragraph (c).
72.31 Subd. 2. Requirement contracts. Standard requirement price contracts for building
72.32and construction must be established by competitive bids as provided in subdivision 1.
72.33The standard requirement price contracts may contain escalation clauses and may provide
73.1for a negotiated price increase or decrease based upon a demonstrable industrywide or
73.2regional increase or decrease in the vendor's costs or for the addition of similar products or
73.3replacement items not significant to the total value of existing contracts. The term of these
73.4contracts may not exceed five years including all extensions.
73.5 Subd. 3. Publication of notice; expenditures over $25,000. If the amount of an
73.6expenditure is estimated to exceed $25,000, bids or proposals must be solicited by public
73.7notice in a manner designated by the commissioner. To the extent practical, this must
73.8include posting on a state Web site. For expenditures over $50,000, when a call for bids is
73.9issued, the commissioner shall solicit sealed bids by providing notices to all prospective
73.10bidders known to the commissioner by posting notice on a state Web site at least seven
73.11days before the final date of submitting bids. All bids over $50,000 must be sealed when
73.12they are received and must be opened in public at the hour stated in the notice. All
73.13proposals responsive to a request for proposals according to section 16C.28, subdivision
73.141, paragraph (a), clause (2), and paragraph (c), shall be submitted and evaluated in the
73.15manner described in the request for proposals, regardless of the dollar amount. All original
73.16bids and proposals and all documents pertaining to the award of a contract must be retained
73.17and made a part of a permanent file or record and remain open to public inspection.
73.18 Subd. 4. Building and construction contracts; $50,000 or less. An informal bid
73.19may be used for building, construction, and repair contracts that are estimated at less than
73.20$50,000. Informal bids must be authenticated by the bidder in a manner specified by the
73.21commissioner. Alternatively, a request for proposals may be issued according to section
73.2216C.28, subdivision 1, paragraph (a), clause (2), and paragraph (c), for such contracts.
73.23 Subd. 5. Standard specifications, security. Contracts must be based on the
73.24standard specifications prescribed and enforced by the commissioner under this chapter,
73.25unless otherwise expressly provided or as authorized under section 16C.28, subdivision
73.261, paragraph (a), clause (2), and paragraph (c). Eachbidder for a contract vendor or
73.27contractor must furnish security approved by the commissioner to ensure the making of
73.28the contract being bid for.
73.29 Subd. 6. Noncompetitive bids. Agencies are encouraged to contract with small
73.30targeted group businesses designated under section16C.16 when entering into contracts
73.31that are not subject to competitive bidding procedures.
73.32 Sec. 7. Minnesota Statutes 2006, section 16C.27, subdivision 1, is amended to read:
73.33 Subdivision 1. Single source of supply. Competitive biddingis or proposals are not
73.34required for contracts clearly and legitimately limited to a single source of supply, and the
73.35contract price may be best established by direct negotiation.
74.1 Sec. 8. Minnesota Statutes 2006, section 16C.28, is amended to read:
74.216C.28 CONTRACTS; AWARD.
74.3 Subdivision 1.Lowest responsible bidder Award requirements. (a) All state
74.4building and construction contracts entered into by or under the supervision of the
74.5commissioner or an agency for which competitive bids or proposals are requiredmust
74.6be awarded to the lowest responsible bidder, taking into consideration conformity with
74.7the specifications, terms of delivery, the purpose for which the contract is intended, the
74.8status and capability of the vendor, and other considerations imposed in the call for bids.
74.9The commissioner may decide which is the lowest responsible bidder for all contracts
74.10and may use the principles of life cycle costing, where appropriate, in determining the
74.11lowest overall bid. The head of the interested agency shall make the decision, subject
74.12to the approval of the commissioner. Any or all bids may be rejected. In a case where
74.13competitive bids are required and where all bids are rejected, new bids, if solicited, must
74.14be called for as in the first instance, unless otherwise provided by law. may be awarded to
74.15either of the following:
74.16 (1) the lowest responsible bidder, taking into consideration conformity with the
74.17specifications, terms of delivery, the purpose for which the contract is intended, the status
74.18and capability of the vendor or contractor, other considerations imposed in the call for
74.19bids, and, where appropriate, principles of life-cycle costing; or
74.20 (2) the vendor or contractor offering the best value, taking into account the
74.21specifications of the request for proposals, the price and performance criteria as set forth
74.22in section 16C.02, subdivision 4a, and described in the solicitation document.
74.23 (b) The vendor or contractor must secure bonding, commercial general insurance
74.24coverage, and workers' compensation insurance coverage under paragraph (a), clause
74.25(1) or (2). The commissioner shall determine whether to use the procurement process
74.26described in paragraph (a), clause (1), or the procurement process described in paragraph
74.27(a), clause (2), and paragraph (c). If the commissioner uses the method in paragraph
74.28(a), clause (2), and paragraph (c), the head of the agency shall determine which vendor
74.29or contractor offers the best value, subject to the approval of the commissioner. Any
74.30or all bids or proposals may be rejected.
74.31 (c) When using the procurement process described in subdivision 1, paragraph (a),
74.32clause (2), the solicitation document must state the relative weight of price and other
74.33selection criteria. The award must be made to the vendor or contractor offering the
74.34best value applying the weighted selection criteria. If an interview of the vendor's or
74.35contractor's personnel is one of the selection criteria, the relative weight of the interview
74.36shall be stated in the solicitation document and applied accordingly.
75.1 Subd. 1a. Establishment and purpose. (a) The state recognizes the importance of
75.2the inclusion of a best value contracting system for construction as an alternative to the
75.3current low-bid system of procurement. In order to accomplish that goal, state and local
75.4governmental entities shall be able to choose the best value system in different phases.
75.5 (b) "Best value" means the procurement method defined in section 16C.02,
75.6subdivision 4a.
75.7 (c) The following entities are eligible to participate in phase I:
75.8 (1) state agencies;
75.9 (2) counties;
75.10 (3) cities; and
75.11 (4) school districts with the highest 25 percent enrollment of students in the state.
75.12Phase I begins on the effective date of this section.
75.13 (d) The following entities are eligible to participate in phase II:
75.14 (1) those entities included in phase I; and
75.15 (2) school districts with the highest 50 percent enrollment of students in the state.
75.16Phase II begins two years from the effective date of this section.
75.17 (e) The following entities are eligible to participate in phase III:
75.18 (1) all entities included in phases I and II; and
75.19 (2) all other townships, school districts, and political subdivisions in the state.
75.20Phase III begins three years from the effective date of this section.
75.21 (f) The commissioner or any agency for which competitive bids or proposals are
75.22required may not use best value contracting as defined in section 16C.02, subdivision 4a,
75.23for more than one project annually, or 20 percent of its projects, whichever is greater, in
75.24each of the first three fiscal years in which best value construction contracting is used.
75.25 Subd. 2. Alterations and erasures. A bid containing an alteration or erasure of
75.26any price contained in the bid which is used in determining the lowest responsible bid
75.27must be rejected unless the alteration or erasure is corrected in a manner that is clear and
75.28authenticated by an authorized representative of the responder. An alteration or erasure
75.29may be crossed out and the correction printed in ink or typewritten adjacent to it and
75.30initialed by an authorized representative of the responder.
75.31 Subd. 3. Special circumstances. The commissioner may reject the bid or proposal
75.32of anybidder vendor or contractor who has failed to perform a previous contract with
75.33the state. In the case of identical low bids from two or more bidders, the commissioner
75.34may use negotiated procurement methods with the tied low bidders for that particular
75.35transaction so long as the price paid does not exceed the low tied bid price. The
76.1commissioner may award contracts to more than onebidder vendor or contractor in
76.2accordance with subdivision 1, if doing so does not decrease the service level or diminish
76.3the effect of competition.
76.4 Subd. 4. Record. A record must be kept of all bids or proposals, including names of
76.5bidders, amounts of bids or proposals, and each successful bid or proposal. This record is
76.6open to public inspection, subject to section 13.591 and other applicable law.
76.7 Subd. 5. Preferences not cumulative. The preferences under sections16B.121 ,
76.816C.06, subdivision 7
, and
16C.16 apply, but are not cumulative. The total percentage
76.9of preference granted on a contract may not exceed the highest percentage of preference
76.10allowed for that contract under any one of those sections.
76.11 Sec. 9. Minnesota Statutes 2006, section 103D.811, subdivision 3, is amended to read:
76.12 Subd. 3. Awarding of contract. (a) At a time and place specified in the bid notice,
76.13the managers may accept or reject any or all bids and may award the contract to the lowest
76.14responsible bidder. The bidder to whom the contract is to be awarded must give a bond,
76.15with ample security, conditioned by satisfactory completion of the contract.
76.16 (b) Bids must not be considered which in the aggregate exceed by more than 30
76.17percent the total estimated cost of construction or implementation.
76.18 (c) As an alternative to the procurement method described in paragraph (a), the
76.19managers may issue a request for proposals and award the contract to the vendor or
76.20contractor offering the best value as described in section 16C.28, subdivision 1, paragraph
76.21(a), clause (2), and paragraph (c).
76.22 (d) The contract must be in writing and be accompanied by or refer to the plans and
76.23specifications for the work to be done as prepared by the engineer for the watershed
76.24district. The plans and specifications shall become a part of the contract.
76.25(d) (e) The contract shall be approved by the managers and signed by the president,
76.26secretary, and contractor.
76.27 Sec. 10. Minnesota Statutes 2006, section 103E.505, subdivision 5, is amended to read:
76.28 Subd. 5. How contract may be awarded. The contract may be awarded in one
76.29job, in sections, or separately for labor and material andmust may be let to the lowest
76.30responsible bidder. Alternatively, the contract may be awarded to the vendor or contractor
76.31offering the best value under a request for proposals as described in section 16C.28,
76.32subdivision 1, paragraph (a), clause (2), and paragraph (c).
76.33 Sec. 11. Minnesota Statutes 2006, section 116A.13, subdivision 5, is amended to read:
77.1 Subd. 5. How job may be let. The job may be let in one job, or in sections, or
77.2separately for labor and material, andshall may be let to the lowest responsible bidder or
77.3bidders therefor. Alternatively, the contract may be awarded to the vendor or contractor
77.4offering the best value under a request for proposals as described in section 16C.28,
77.5subdivision 1, paragraph (a), clause (2), and paragraph (c).
77.6 Sec. 12. Minnesota Statutes 2006, section 123B.52, subdivision 1, is amended to read:
77.7 Subdivision 1. Contracts. A contract for work or labor, or for the purchase of
77.8furniture, fixtures, or other property, except books registered under the copyright laws, or
77.9for the construction or repair of school houses, the estimated cost or value of which shall
77.10exceed that specified in section471.345, subdivision 3 , must not be made by the school
77.11board without first advertising for bids or proposals by two weeks' published notice in the
77.12official newspaper. This notice must state the time and place of receiving bids and contain
77.13a brief description of the subject matter.
77.14 Additional publication in the official newspaper or elsewhere may be made as the
77.15board shall deem necessary.
77.16 After taking into consideration conformity with the specifications, terms of delivery,
77.17and other conditions imposed in the call for bids, every such contract for which a call for
77.18bids has been issued must be awarded to the lowest responsible bidder, be duly executed
77.19in writing, and be otherwise conditioned as required by law. The person to whom the
77.20contract is awarded shall give a sufficient bond to the board for its faithful performance.
77.21Notwithstanding section574.26 or any other law to the contrary, on a contract limited
77.22to the purchase of a finished tangible product, a board may require, at its discretion, a
77.23performance bond of a contractor in the amount the board considers necessary. A record
77.24must be kept of all bids, with names of bidders and amount of bids, and with the successful
77.25bid indicated thereon. A bid containing an alteration or erasure of any price contained in
77.26the bid which is used in determining the lowest responsible bid must be rejected unless the
77.27alteration or erasure is corrected as provided in this section. An alteration or erasure may
77.28be crossed out and the correction thereof printed in ink or typewritten adjacent thereto and
77.29initialed in ink by the person signing the bid. In the case of identical low bids from two or
77.30more bidders, the board may, at its discretion, utilize negotiated procurement methods
77.31with the tied low bidders for that particular transaction, so long as the price paid does not
77.32exceed the low tied bid price. In the case where only a single bid is received, the board
77.33may, at its discretion, negotiate a mutually agreeable contract with the bidder so long as
77.34the price paid does not exceed the original bid. If no satisfactory bid is received, the
77.35board may readvertise. Standard requirement price contracts established for supplies or
78.1services to be purchased by the district must be established by competitive bids. Such
78.2standard requirement price contracts may contain escalation clauses and may provide for a
78.3negotiated price increase or decrease based upon a demonstrable industrywide or regional
78.4increase or decrease in the vendor's costs. Either party to the contract may request that the
78.5other party demonstrate such increase or decrease. The term of such contracts must not
78.6exceed two years with an option on the part of the district to renew for an additional two
78.7years. Contracts for the purchase of perishable food items, except milk for school lunches
78.8and vocational training programs, in any amount may be made by direct negotiation
78.9by obtaining two or more written quotations for the purchase or sale, when possible,
78.10without advertising for bids or otherwise complying with the requirements of this section
78.11or section471.345, subdivision 3 . All quotations obtained shall be kept on file for a
78.12period of at least one year after receipt.
78.13 Every contract made without compliance with the provisions of this section shall be
78.14void. Except in the case of the destruction of buildings or injury thereto, where the public
78.15interest would suffer by delay, contracts for repairs may be made without advertising
78.16for bids.
78.17 Sec. 13. Minnesota Statutes 2006, section 123B.52, is amended by adding a
78.18subdivision to read:
78.19 Subd. 1b. Best value alternative. As an alternative to the procurement method
78.20described in subdivision 1, a contract for construction, building, alteration, improvement,
78.21or repair work may be awarded to the vendor or contractor offering the best value under a
78.22request for proposals as described in section 16C.28, subdivision 1, paragraph (a), clause
78.23(2), and paragraph (c).
78.24 Sec. 14. Minnesota Statutes 2006, section 160.17, is amended by adding a subdivision
78.25to read:
78.26 Subd. 2a. Best value alternative. As an alternative to the procurement method
78.27referenced in subdivision 2, counties or towns may issue a request for proposal and award
78.28the contract to the vendor or contractor offering the best value as described in section
78.2916C.28, subdivision 1, paragraph (a), clause (2), and paragraph (c).
78.30 Sec. 15. Minnesota Statutes 2006, section 160.262, is amended by adding a subdivision
78.31to read:
78.32 Subd. 5. Best value alternative. As an alternative to the procurement method
78.33described in subdivision 4, the commissioner may allow for the award of design-build
79.1contracts for the projects described in subdivision 4 to the vendor or contractor offering
79.2the best value under a request for proposals as described in section 16C.28, subdivision 1,
79.3paragraph (a), clause (2), and paragraph (c).
79.4 Sec. 16. Minnesota Statutes 2006, section 161.32, is amended by adding a subdivision
79.5to read:
79.6 Subd. 1f. Best value alternative. As an alternative to the procurement method
79.7described in subdivisions 1a to 1e, the commissioner may issue a request for proposals
79.8and award the contract to the vendor or contractor offering the best value as described in
79.9section 16C.28, subdivision 1, paragraph (a), clause (2), and paragraph (c).
79.10 Sec. 17. [161.3206] BEST VALUE CONTRACTING AUTHORITY.
79.11 Notwithstanding sections 16C.25, 161.32, 161.321, or any other law to the contrary,
79.12the commissioner may solicit and award all contracts, other than design-build contracts
79.13governed by section 161.3412, for a project on the basis of a best value selection process
79.14as defined in section 16C.02, subdivision 4a. Section 16C.08 does not apply to this section.
79.15 Sec. 18. Minnesota Statutes 2006, section 161.3412, subdivision 1, is amended to read:
79.16 Subdivision 1. Best value selection for design-build contracts. Notwithstanding
79.17sections16C.25 ,
161.32 , and
161.321 , or any other law to the contrary, the commissioner
79.18may solicit and award a design-build contract for a project on the basis of a best value
79.19selection process. Section16C.08 does not apply to design-build contracts to which the
79.20commissioner is a party.
79.21 Sec. 19. Minnesota Statutes 2006, section 161.38, subdivision 4, is amended to read:
79.22 Subd. 4. Effects on other law of public contract with commissioner. Whenever
79.23the road authority of any city enters into an agreement with the commissioner pursuant
79.24to this section, and a portion of the cost is to be assessed against benefited property,
79.25the letting of a public contract by the commissioner for the work shall be deemed to
79.26comply with statutory or charter provisions requiring the city (1) to advertise for bids
79.27before awarding a contract for a public improvement, (2) to let the contract to the lowest
79.28responsible bidder or to the vendor or contractor offering the best value, and (3) to require
79.29a performance bond to be filed by the contractor before undertaking the work. The
79.30contract so let by the commissioner and the performance bond required of the contractor
79.31by the commissioner shall be considered to be the contract and bond of the city for the
79.32purposes of complying with the requirements of any applicable law or charter provision,
80.1and the bond shall inure to the benefit of the city and operate for their protection to the
80.2same extent as though they were parties thereto.
80.3 Sec. 20. Minnesota Statutes 2006, section 365.37, is amended by adding a subdivision
80.4to read:
80.5 Subd. 2a. Best value alternative. As an alternative to the procurement method
80.6described in subdivision 2, a contract for construction, building, alteration, improvement,
80.7or repair work may be awarded to the vendor or contractor offering the best value under a
80.8request for proposals as described in section 16C.28, subdivision 1, paragraph (a), clause
80.9(2), and paragraph (c).
80.10 Sec. 21. Minnesota Statutes 2006, section 374.13, is amended to read:
80.11374.13 TO ADVERTISE FOR BIDS.
80.12 Subdivision 1. Bidding process. When the plans and specifications are completed
80.13and approved by the city council and the county board, the commission shall, after notice
80.14appropriate to inform possible bidders, obtain bids or proposals for all or any portion of
80.15the work or materials, or both, to be done, performed, or furnished in the construction of
80.16the building. All bids or proposals shall be sealed by the bidders or proposers and filed
80.17with the commission at or before the time specified for the opening of bids or proposals.
80.18At the time and place specified for the opening of bids or proposals, the commission shall
80.19meet, open the bids or proposals, tabulate them, and award the contract or contracts to the
80.20responsible bidder whose bid or proposal is the most favorable to the city or county, or
80.21reject all bids and proposals. If all bids or proposals are rejected, the commission may,
80.22after similar notice, obtain more bids or proposals or may modify or change the plans and
80.23specifications and submit the modified plans and specifications to the city council and the
80.24county board for approval. When the modified or changed plans and specifications are
80.25satisfactory to both the city council and the county board, the plans and specifications
80.26shall be returned to the commission and the commission shall proceed again, after similar
80.27notice, to obtain bids or proposals. Any contract awarded by the commission shall be
80.28subject to approval by the city council and the county board.
80.29 Subd. 2. Best value alternative. As an alternative to the procurement method
80.30described in subdivision 1, the commission may issue a request for proposals and award
80.31the contract to the vendor or contractor offering the best value as described in section
80.3216C.28, subdivision 1, paragraph (a), clause (2), and paragraph (c).
81.1 Sec. 22. Minnesota Statutes 2006, section 375.21, is amended by adding a subdivision
81.2to read:
81.3 Subd. 1b. Best value alternative. As an alternative to the procurement method
81.4described in subdivision 1, a county board may award a contract for construction, building,
81.5alteration, improvement, or repair work to the vendor or contractor offering the best value
81.6under a request for proposals as described in section 16C.28, subdivision 1, paragraph
81.7(a), clause (2), and paragraph (c).
81.8 Sec. 23. Minnesota Statutes 2006, section 383C.094, is amended by adding a
81.9subdivision to read:
81.10 Subd. 1a. Contracts in excess of $500; best value alternative. As an alternative to
81.11the procurement method described in subdivision 1, the contract may be awarded to the
81.12vendor or contractor offering the best value under a request for proposals as described in
81.13section 16C.28, subdivision 1, paragraph (a), clause (2), and paragraph (c).
81.14 Sec. 24. Minnesota Statutes 2006, section 412.311, is amended to read:
81.15412.311 CONTRACTS.
81.16 Subdivision 1. Lowest responsible bidder. Except as provided in sections471.87
81.17to471.89 , no member of a council shall be directly or indirectly interested in any contract
81.18made by the council. Whenever the amount of a contract for the purchase of merchandise,
81.19materials or equipment or for any kind of construction work undertaken by the city is
81.20estimated to exceed the amount specified by section471.345, subdivision 3 , the contract
81.21shall be let to the lowest responsible bidder, after notice has been published once in the
81.22official newspaper at least ten days in advance of the last day for the submission of bids. If
81.23the amount of the contract exceeds $1,000, it shall be entered into only after compliance
81.24with section471.345 .
81.25 Subd. 2. Best value alternative. As an alternative to the procurement method
81.26described in subdivision 1, a contract for construction, building, alteration, improvement,
81.27or repair work may be awarded to the vendor or contractor offering the best value under a
81.28request for proposals as described in section 16C.28, subdivision 1, paragraph (a), clause
81.29(2), and paragraph (c).
81.30 Sec. 25. Minnesota Statutes 2006, section 429.041, is amended by adding a subdivision
81.31to read:
81.32 Subd. 2a. Best value alternative. As an alternative to the procurement method
81.33described in subdivision 2, the council may issue a request for proposals and award the
82.1contract to the vendor or contractor offering the best value as described in section 16C.28,
82.2subdivision 1, paragraph (a), clause (2), and paragraph (c).
82.3 Sec. 26. Minnesota Statutes 2006, section 458D.21, is amended by adding a
82.4subdivision to read:
82.5 Subd. 2a. Contracts in excess of $5,000; best value alternative. As an alternative
82.6to the procurement method described in subdivision 2, the board may issue a request for
82.7proposals and award the contract to the vendor or contractor offering the best value as
82.8described in section 16C.28, subdivision 1, paragraph (a), clause (2), and paragraph (c).
82.9 Sec. 27. Minnesota Statutes 2006, section 469.015, is amended by adding a subdivision
82.10to read:
82.11 Subd. 1a. Best value alternative. As an alternative to the procurement method
82.12described in subdivision 1, the authority may issue a request for proposals and award the
82.13contract to the vendor or contractor offering the best value under a request for proposals as
82.14described in section 16C.28, subdivision 1, paragraph (a), clause (2), and paragraph (c).
82.15 Sec. 28. Minnesota Statutes 2006, section 469.068, subdivision 1, is amended to read:
82.16 Subdivision 1. Contracts; bids; bonds. All construction work and every purchase
82.17of equipment, supplies, or materials necessary in carrying out the purposes of sections
82.18469.048
to
469.068 , that involve the expenditure of $1,000 or more, shall be awarded by
82.19contract as provided in this subdivision or in subdivision 1a. Before receiving bids under
82.20sections469.048 to
469.068 , the authority shall publish, once a week for two consecutive
82.21weeks in the official newspaper of the port's city, a notice that bids will be received for the
82.22construction work, or purchase of equipment, supplies, or materials. The notice shall state
82.23the nature of the work, and the terms and conditions upon which the contract is to be let
82.24and name a time and place where the bids will be received, opened, and read publicly,
82.25which time shall be not less than seven days after the date of the last publication. After
82.26the bids have been received, opened, read publicly, and recorded, the commissioners
82.27shall award the contract to the lowest responsible bidder, reserving the right to reject
82.28any or all bids. The contract shall be executed in writing and the person to whom the
82.29contract is awarded shall give sufficient bond to the board for its faithful performance. If
82.30no satisfactory bid is received, the port authority may readvertise, or, by an affirmative
82.31vote of two of its commissioners in the case of a three-member commission, or five of
82.32its members in the case of a seven-member commission, may authorize the authority
82.33to perform any part or parts of any construction work by day labor under conditions it
83.1prescribes. The commissioners may establish reasonable qualifications to determine
83.2the fitness and responsibility of bidders, and require bidders to meet the qualifications
83.3before bids are accepted. If the commissioners by a two-thirds or five-sevenths vote
83.4declare that an emergency exists requiring the immediate purchase of any equipment or
83.5material or supplies at a cost in excess of $1,000, but not exceeding $5,000, in amount,
83.6or making of emergency repairs, it shall not be necessary to advertise for bids, but the
83.7material, equipment, or supplies may be purchased in the open market at the lowest price
83.8obtainable, or the emergency repairs may be contracted for or performed without securing
83.9formal competitive bids. An emergency, for purposes of this section, is unforeseen
83.10circumstances or conditions which result in the jeopardizing of human life or property.
83.11 In all contracts involving the employment of labor, the commissioners shall stipulate
83.12conditions they deem reasonable, as to the hours of labor and wages and may stipulate as
83.13to the residence of employees to be employed by the contractors.
83.14 Bonds shall be required from contractors for any works of construction as provided
83.15in and subject to all the provisions of sections574.26 to
574.31 .
83.16 Sec. 29. Minnesota Statutes 2006, section 469.068, is amended by adding a subdivision
83.17to read:
83.18 Subd. 1a. Contracts; best value alternative. As an alternative to the procurement
83.19method described in subdivision 1, a contract may be awarded to the vendor or contractor
83.20offering the best value under a request for proposals as described in section 16C.28,
83.21subdivision 1, paragraph (a), clause (2), and paragraph (c).
83.22 Sec. 30. Minnesota Statutes 2006, section 469.101, is amended by adding a subdivision
83.23to read:
83.24 Subd. 5a. Construction contracts. For all contracts for construction, alteration,
83.25repair, or maintenance work, the authority may award contracts to the vendor offering the
83.26best value, and "best value" shall be defined and applied as set forth in sections 16C.02,
83.27subdivision 4a, and 16C.28, subdivision 1, paragraph (a), clause (2), and paragraph (c).
83.28Alternatively, the authority may award all contracts for construction, alteration, repair,
83.29or maintenance work to the lowest responsible bidder, reserving the right to reject any
83.30or all bids.
83.31 Sec. 31. Minnesota Statutes 2006, section 471.345, is amended by adding a subdivision
83.32to read:
84.1 Subd. 3a. Contracts over $50,000; best value alternative. As an alternative to the
84.2procurement method described in subdivision 3, municipalities may award a contract for
84.3construction, alteration, repair, or maintenance work to the vendor or contractor offering
84.4the best value under a request for proposals as described in section 16C.28, subdivision 1,
84.5paragraph (a), clause (2), and paragraph (c).
84.6 Sec. 32. Minnesota Statutes 2006, section 471.345, is amended by adding a subdivision
84.7to read:
84.8 Subd. 4a. Contracts from $10,000 to $50,000; best value alternative. As an
84.9alternative to the procurement method described in subdivision 4, municipalities may
84.10award a contract for construction, alteration, repair, or maintenance work to the vendor or
84.11contractor offering the best value under a request for proposals as described in section
84.1216C.28, subdivision 1, paragraph (a), clause (2), and paragraph (c).
84.13 Sec. 33. Minnesota Statutes 2006, section 471.345, subdivision 5, is amended to read:
84.14 Subd. 5. Contracts less than $10,000. If the amount of the contract is estimated
84.15to be $10,000 or less, the contract may be made either upon quotation or in the open
84.16market, in the discretion of the governing body. If the contract is made upon quotation
84.17it shall be based, so far as practicable, on at least two quotations which shall be kept on
84.18file for a period of at least one year after their receipt. Alternatively, municipalities may
84.19award a contract for construction, alteration, repair, or maintenance work to the vendor or
84.20contractor offering the best value under a request for proposals as described in section
84.2116C.28, subdivision 1, paragraph (a), clause (2), and paragraph (c).
84.22 Sec. 34. Minnesota Statutes 2006, section 473.523, is amended by adding a subdivision
84.23to read:
84.24 Subd. 1a. Contracts over $50,000; best value alternative. As an alternative to
84.25the procurement method described in subdivision 1, the council may issue a request for
84.26proposals and award the contract to the vendor or contractor offering the best value
84.27under a request for proposals as described in section 16C.28, subdivision 1, paragraph
84.28(a), clause (2), and paragraph (c).
84.29 Sec. 35. Minnesota Statutes 2006, section 473.756, subdivision 12, is amended to read:
84.30 Subd. 12. Contracts. The authority may enter into a development agreement with
84.31the team, the county, or any other entity relating to the construction, financing, and use of
84.32the ballpark and related facilities and public infrastructure. The authority may contract
85.1for materials, supplies, and equipment in accordance with sections471.345 and
473.754 ,
85.2except that the authority, with the consent of the county, may employ or contract with
85.3persons, firms, or corporations to perform one or more or all of the functions of architect,
85.4engineer, or construction manager with respect to all or any part of the ballpark and
85.5public infrastructure. Alternatively, at the request of the team and with the consent of the
85.6county, the authority shall authorize the team to provide for the design and construction
85.7of the ballpark and related public infrastructure, subject to terms of Laws 2006, chapter
85.8257. The construction manager may enter into contracts with contractors for labor,
85.9materials, supplies, and equipment for the construction of the ballpark and related public
85.10infrastructure through the process of public bidding, except that the construction manager
85.11may, with the consent of the authority or the team:
85.12 (1) narrow the listing of eligible bidders to those which the construction manager
85.13determines to possess sufficient expertise to perform the intended functions;
85.14 (2) award contracts to the contractors that the construction manager determines
85.15provide the best value under a request for proposals as described in section 16C.28,
85.16subdivision 1, paragraph (a), clause (2), and paragraph (c), which are not required to be
85.17the lowest responsible bidder; and
85.18 (3) for work the construction manager determines to be critical to the completion
85.19schedule, award contracts on the basis of competitive proposals or perform work with
85.20its own forces without soliciting competitive bids if the construction manager provides
85.21evidence of competitive pricing.
85.22The authority shall require that the construction manager certify, before the contract is
85.23signed, a fixed and stipulated construction price and completion date to the authority
85.24and post a performance bond in an amount at least equal to 100 percent of the certified
85.25price, to cover any costs which may be incurred in excess of the certified price, including
85.26but not limited to costs incurred by the authority or loss of revenues resulting from
85.27incomplete construction on the completion date. The authority may secure surety bonds
85.28as provided in section574.26 , securing payment of just claims in connection with all
85.29public work undertaken by it. Persons entitled to the protection of the bonds may enforce
85.30them as provided in sections574.28 to
574.32 , and shall not be entitled to a lien on any
85.31property of the authority under the provisions of sections514.01 to
514.16 . Contracts for
85.32construction and operation of the ballpark must include programs, including Youthbuild,
85.33to provide for participation by small local businesses and businesses owned by people of
85.34color, and the inclusion of women and people of color in the workforces of contractors
85.35and ballpark operators. The construction of the ballpark is a "project" as that term is
86.1defined in section177.42 , subdivision 2, and is subject to the prevailing wage law under
86.2sections177.41 to
177.43 .
1.3and administrative expenses of state government; regulating state and local
1.4government operations; directing the Legislative Coordinating Commission
1.5to assist in fostering an understanding of ethnic and cultural diversity and
1.6assist in issues related to preparedness for terrorism and disasters; creating
1.7the position of poet laureate; imposing a temporary technology surcharge;
1.8establishing provisions for grants management; requiring a state Web site with
1.9a searchable database on state contracts and grants; promoting use of persons
1.10with disabilities for document imaging services; modifying secretary of state
1.11provisions; creating a state employees electronic health records pilot project;
1.12creating a sustainable growth working group; abolishing the Department of
1.13Employee Relations and transferring duties; establishing a state budget trends
1.14study commission; requiring best value contracts and procurement for certain
1.15purposes; requiring reports; amending Minnesota Statutes 2006, sections
1.163.303, by adding subdivisions; 4.035, subdivision 3; 5.12, subdivision 1;
1.1715.06, subdivision 2; 15B.17, subdivision 1; 16A.102, subdivision 4; 16A.103,
1.18subdivision 1e; 16A.1286, subdivision 2; 16A.695, subdivisions 2, 3, by
1.19adding subdivisions; 16B.055, subdivision 1; 16B.24, subdivision 5; 16B.35,
1.20subdivision 1; 16C.02, subdivisions 4, 12, 14, by adding subdivisions; 16C.03,
1.21subdivisions 2, 3, 4, 8, 16, by adding subdivisions; 16C.05, subdivisions 1,
1.222; 16C.08, subdivisions 2, 4, by adding subdivisions; 16C.10, subdivision
1.237; 16C.16, subdivision 5; 16C.26; 16C.27, subdivision 1; 16C.28; 43A.08,
1.24subdivision 2a; 43A.346, subdivision 1; 103D.811, subdivision 3; 103E.505,
1.25subdivision 5; 116A.13, subdivision 5; 123B.52, subdivision 1, by adding a
1.26subdivision; 160.17, by adding a subdivision; 160.262, by adding a subdivision;
1.27161.1419, subdivision 8; 161.32, by adding a subdivision; 161.3412, subdivision
1.281; 161.38, subdivision 4; 270B.14, by adding a subdivision; 270C.03, subdivision
1.291; 302A.821, subdivision 4; 308A.995, subdivision 4; 308B.121, subdivision
1.304; 308B.215, subdivision 2; 317A.823, subdivision 1; 321.0206; 321.0210;
1.31323A.1003; 336.1-110; 336.9-516; 336.9-525; 358.41; 358.42; 358.50; 359.085,
1.32subdivisions 2, 3; 365.37, by adding a subdivision; 374.13; 375.21, by adding
1.33a subdivision; 383C.094, by adding a subdivision; 412.311; 429.041, by
1.34adding a subdivision; 458D.21, by adding a subdivision; 469.015, by adding
1.35a subdivision; 469.068, subdivision 1, by adding a subdivision; 469.101, by
1.36adding a subdivision; 471.345, subdivision 5, by adding subdivisions; 473.523,
1.37by adding a subdivision; 473.756, subdivision 12; 477A.014, subdivision 4;
1.38491A.02, subdivision 4; 507.24, subdivision 2; 517.08, subdivisions 1b, 1c; Laws
1.392005, chapter 156, article 2, section 45; Laws 2006, chapter 253, section 22,
2.1subdivision 1; Laws 2006, chapter 282, article 14, section 5; proposing coding
2.2for new law in Minnesota Statutes, chapters 4; 5; 11A; 13; 16B; 16C; 161; 270C;
2.3308B; 321; repealing Minnesota Statutes 2006, sections 16A.102, subdivisions 1,
2.42, 3; 16B.055, subdivisions 2, 3; 16C.055, subdivision 1; 16C.08, subdivision
2.54a; 69.051, subdivision 1c; 359.085, subdivision 8.
2.6BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
| 2.9 |
Section 1. SUMMARY OF APPROPRIATIONS. |
||||||
2.11in this article.
| 2.24 |
Sec. 2. STATE GOVERNMENT APPROPRIATIONS. |
||||||
2.26agencies and for the purposes specified in this article. The appropriations are from the
2.27general fund, or another named fund, and are available for the fiscal years indicated
2.28for each purpose. The figures "2008" and "2009" used in this article mean that the
2.29appropriations listed under them are available for the fiscal year ending June 30, 2008, or
2.30June 30, 2009, respectively. "The first year" is fiscal year 2008. "The second year" is fiscal
2.31year 2009. "The biennium" is fiscal years 2008 and 2009.
| 2.32 |
APPROPRIATIONS |
||||||
| 2.33 |
Available for the Year |
||||||
| 2.34 |
Ending June 30 |
||||||
| 2.35 |
2008 |
2009 |
|||||
| 2.36 |
Sec. 3. LEGISLATURE |
||||||
| 2.37 |
Subdivision 1.Total Appropriation |
$ |
76,494,000 |
$ |
71,544,000 |
||
| 3.1 |
Appropriations by Fund |
||
| 3.2 |
2008 |
2009 |
|
| 3.3 |
General |
76,316,000 |
71,366,000 |
| 3.4 |
Health Care Access |
178,000 |
178,000 |
3.6purpose are specified in the following
3.7subdivisions.
| 3.8 |
Subd. 2.Senate |
26,320,000 |
23,677,000 |
||||
| 3.9 |
Subd. 3.House of Representatives |
33,168,000 |
31,746,000 |
||||
3.11any revenues received by the house of
3.12representatives from sponsorship notices in
3.13broadcast or print media are appropriated to
3.14the house of representatives.
| 3.15 |
Subd. 4.Legislative Coordinating Commission |
16,988,000 |
16,121,000 |
||||
| 3.16 |
Appropriations by Fund |
||
| 3.17 |
General |
16,810,000 |
15,943,000 |
| 3.18 |
Health Care Access |
178,000 |
178,000 |
3.20the second year are for the Office of the
3.21Revisor of Statutes.
3.22(b) $1,257,000 the first year and $1,254,000
3.23the second year are for the Legislative
3.24Reference Library.
3.25(c) $5,719,000 the first year and $5,720,000
3.26the second year are for the Office of the
3.27Legislative Auditor.
3.28(d) $750,000 the first year is to the
3.29Legislative Coordinating Commission
3.30for a facilitated planning process relating
3.31to the Capitol building and the Capitol
3.32campus. The process must be conducted
3.33in cooperation with the Capitol Area
3.34Architectural and Planning Board and the
4.1commissioner of administration, and must
4.2include consideration of issues relating to
4.3renovation and possible expansion of the
4.4Capitol building, phasing strategies relating
4.5to renovation of the Capitol, and related
4.6campus planning issues. The process must
4.7include consideration of as many options as
4.8feasible relating to renovation of the Capitol
4.9and related campus buildings. The process
4.10must be completed by September 30, 2007.
4.11(e) All legislative offices should, whenever
4.12possible, implement information technology
4.13systems that are compatible and work
4.14seamlessly across the legislature. Wherever
4.15possible, single systems should be
4.16implemented to avoid unnecessary
4.17duplication and inefficiency. The directors
4.18of information technology for the senate,
4.19house of representatives, and the Legislative
4.20Coordinating Commission must submit
4.21a written report describing their efforts
4.22to collaborate on implementing shared
4.23information technology systems. The report
4.24must be submitted to the chairs of the house
4.25of representatives and senate committees
4.26with jurisdiction over rules and to the
4.27Legislative Coordinating Commission on
4.28January 15, 2008, and January 15, 2009.
| 4.29 4.30 |
Sec. 4. GOVERNOR AND LIEUTENANT GOVERNOR |
$ |
3,679,000 |
$ |
3,777,000 |
||
4.32the Governor and Lieutenant Governor.
4.33$19,000 the first year and $19,000 the
4.34second year are for necessary expenses in
4.35the normal performance of the governor's
5.1and lieutenant governor's duties for which no
5.2other reimbursement is provided.
5.3(b) By September 1 of each year, the
5.4commissioner of finance shall report to
5.5the chairs of the senate Governmental
5.6Operations Budget Division and the house
5.7State Government Finance Division any
5.8personnel costs incurred by the Office of
5.9the Governor and Lieutenant Governor that
5.10were supported by appropriations to other
5.11agencies during the previous fiscal year.
5.12The Office of the Governor shall inform the
5.13chairs of the divisions before initiating any
5.14interagency agreements.
| 5.15 |
Sec. 5. STATE AUDITOR |
$ |
9,234,000 |
$ |
9,220,000 |
||
| 5.16 |
Sec. 6. ATTORNEY GENERAL |
$ |
26,182,000 |
$ |
27,113,000 |
||
| 5.24 |
Sec. 7. SECRETARY OF STATE |
$ |
9,029,000 |
$ |
6,517,000 |
||
| 5.25 |
Appropriations by Fund |
||
| 5.26 |
2008 |
2009 |
|
| 5.27 |
General |
6,185,000 |
6,517,000 |
| 5.28 |
Special Revenue |
2,844,000 |
|
5.30transferred to the Help America Vote Act
5.31account and is designated as a portion of the
5.32match required by section 253(b)(5) of the
5.33Help America Vote Act.
6.1(b) $2,844,000 the first year is appropriated
6.2from the Help America Vote Act account for
6.3the purposes and uses authorized by federal
6.4law. This appropriation is available until
6.5June 30, 2009.
6.6(c) Notwithstanding Laws 2005, chapter
6.7162, section 34, subdivision 7, any balance
6.8remaining in the Help America Vote Act
6.9account after previous appropriations and the
6.10appropriations in this section is appropriated
6.11to the secretary of state for the purposes of
6.12the account. This appropriation is available
6.13until June 30, 2011.
| 6.14 6.15 |
Sec. 8. CAMPAIGN FINANCE AND PUBLIC DISCLOSURE BOARD |
$ |
714,000 |
$ |
735,000 |
||
| 6.16 |
Sec. 9. INVESTMENT BOARD |
$ |
151,000 |
$ |
151,000 |
||
| 6.17 6.18 |
Sec. 10. OFFICE OF ENTERPRISE TECHNOLOGY |
$ |
10,943,000 |
$ |
7,739,000 |
||
6.20phase of an electronic licensing system.
6.21This is a onetime appropriation. This
6.22appropriation carries forward to the second
6.23year.
6.24(b) $3,910,000 the first year and $3,910,000
6.25the second year are for information
6.26technology security. The base appropriation
6.27is $2,682,000 in fiscal year 2010 and
6.28$2,682,000 in fiscal year 2011.
6.29(c) $1,000,000 the first year is for select small
6.30agency technology infrastructure projects.
6.31(d) $68,000 the first year is for an electronic
6.32documents study and report.
7.1(e) $200,000 the first year is for grants to be
7.2distributed to the counties participating in
7.3the development of the integrated financial
7.4system for enhancements to the system.
7.5Enhancements include:
7.6(1) systems to improve the tracking and
7.7reporting of state and federal grants;
7.8(2) electronic payments to vendors;
7.9(3) electronic posting of state payments to
7.10the financial system;
7.11(4) automating revenue collection and
7.12posting through check conversion, automatic
7.13clearing house transactions, or credit card
7.14processing;
7.15(5) improvements to county budgetary
7.16systems;
7.17(6) storage or linkage of electronic
7.18documents;
7.19(7) improved executive level reporting and
7.20extraction of data; and
7.21(8) improved information and reporting for
7.22audits.
7.23The grant funds shall be distributed on a pro
7.24rata basis to each of the counties participating
7.25in the development of the integrated financial
7.26system. The Minnesota Counties Computer
7.27Cooperative, acting as a fiscal agent for
7.28the participating counties, shall receive the
7.29grant money for the counties. The grants
7.30will only be distributed after $600,000 is
7.31expended or provided from other sources.
7.32The chief information officer may require
7.33a report or such other information as the
7.34chief information officer deems appropriate
8.1to verify that the requirements of this
8.2section have been met. This appropriation
8.3is available until June 30, 2011, and cancels
8.4on that date.
8.5The chief information officer shall report to
8.6the legislative committees and divisions with
8.7jurisdiction over state government policy
8.8and finance and economic development
8.9programs.
| 8.10 |
Sec. 11. ADMINISTRATIVE HEARINGS |
$ |
7,823,000 |
$ |
7,540,000 |
||
| 8.11 |
Appropriations by Fund |
||
| 8.12 |
2008 |
2009 |
|
| 8.13 |
General |
283,000 |
290,000 |
| 8.14 8.15 |
Workers' Compensation |
7,540,000 |
7,250,000 |
| 8.16 |
Sec. 12. ADMINISTRATION |
||||||
| 8.17 |
Subdivision 1.Total Appropriation |
$ |
42,220,000 |
$ |
22,128,000 |
||
8.19purpose are specified in the following
8.20subdivisions.
| 8.21 |
Subd. 2.State Facilities Services |
14,496,000 |
11,208,000 |
||||
8.23the second year are for office space costs of
8.24the legislature and veterans organizations,
8.25for ceremonial space, and for statutorily free
8.26space.
8.27(b) $2,500,000 the first year is to purchase
8.28and implement a Web-enabled, shared
8.29computer system to facilitate the state's real
8.30property portfolio management.
8.31(c) $885,000 the first year is for onetime
8.32funding of agency relocation expenses for
8.33the Department of Public Safety.
| 9.1 |
Subd. 3.State and Community Services |
3,456,000 |
3,547,000 |
||||
9.3second year are to fund activities to prepare
9.4for and promote the 2010 census. Base
9.5funding for this activity is $260,000 in fiscal
9.6year 2010 and $180,000 in fiscal year 2011.
9.7(b) $1,100,000 the first year and $1,100,000
9.8the second year are for the Land Management
9.9Information Center.
9.10(c) $196,000 the first year and $196,000 the
9.11second year are for the Office of the State
9.12Archaeologist.
9.13(d) $89,000 the first year is for the genetic
9.14information work group and report. This
9.15appropriation is available until June 30, 2009.
| 9.16 |
Subd. 4.Administrative Management Services |
6,197,000 |
5,418,000 |
||||
9.18Office of Grants Management to standardize
9.19state grants management policies and
9.20procedures. For the fiscal year beginning
9.21July 1, 2008, the commissioner must
9.22deduct up to $125,000 from state grants
9.23to nongovernmental entities, as necessary
9.24to fund the commissioner's duties under
9.25new Minnesota Statutes, sections 16B.97
9.26and 16B.98. The amount deducted from
9.27appropriations for these grants is transferred
9.28to the commissioner for purposes of
9.29administering these sections.
9.30(b) $250,000 the first year and $250,000
9.31the second year are to establish a small
9.32agency resource team to consolidate and
9.33streamline the human resources and financial
10.1management activities for small state
10.2agencies, boards, and councils.
10.3(c) $700,000 the first year is a onetime
10.4appropriation for a targeted group business
10.5disparity study. The commissioner
10.6must cooperate with units of local
10.7government conducting similar studies. The
10.8commissioner shall ensure that the results of
10.9the study are kept current and that any new or
10.10upgraded accounting or procurement systems
10.11properly record purchases from minority and
10.12female-owned businesses through the use of
10.13state contracts, and the availability of bids
10.14from those businesses.
10.15(d) $74,000 the first year and $74,000
10.16the second year are for the Council on
10.17Developmental Disabilities.
10.18(e) $250,000 in fiscal year 2008 and $250,000
10.19in fiscal year 2009 are for a grant to the
10.20Council on Developmental Disabilities
10.21for the purpose of establishing a statewide
10.22self-advocacy network for persons with
10.23intellectual and developmental disabilities
10.24(ID/DD). The self-advocacy network shall:
10.25(1) ensure that persons with ID/DD are
10.26informed of their rights in employment,
10.27housing, transportation, voting, government
10.28policy, and other issues pertinent to the
10.29ID/DD community;
10.30(2) provide public education and awareness
10.31of the civil and human rights issues persons
10.32with ID/DD face;
10.33(3) provide funds, technical assistance, and
10.34other resources for self-advocacy groups
10.35across the state; and
11.1(4) organize systems of communications
11.2to facilitate an exchange of information
11.3between self-advocacy groups.
11.4This appropriation is in addition to any other
11.5appropriations and must be added to the base
11.6appropriation beginning in fiscal year 2010.
11.7(f) $75,000 is for purposes of promotion
11.8of document imaging work in government
11.9agencies to be done by persons with
11.10developmental disabilities.
| 11.11 |
Subd. 5.Fiscal Agent |
1,000,000 |
|||||
11.13County for capital improvements detailed
11.14in the approved planned unit development
11.15for the Disabled Veteran's Rest Camp to
11.16provide increased capacity, amenities, access,
11.17and safety for Minnesota veterans. This
11.18appropriation is available until spent.
| 11.19 |
Subd. 6.Public Broadcasting |
17,071,000 |
1,955,000 |
||||
11.21television stations to assist with the continued
11.22conversion to a digital broadcast signal as
11.23mandated by the federal government. This
11.24appropriation must be used to assist each
11.25station to complete its digital production
11.26facilities and interconnect with other
11.27Minnesota public television stations. In
11.28order to qualify for these grants, a station
11.29must meet the criteria established for grants
11.30in Minnesota Statutes, section 129D.12,
11.31subdivision 2.
11.32(b) $3,000,000 is for grants to Minnesota
11.33Public Radio to assist with conversion to a
11.34digital broadcast signal.
12.1(c) $2,263,000 the first year and $963,000
12.2the second year are for matching grants for
12.3public television.
12.4(d) $398,000 the first year and $398,000
12.5the second year are for public television
12.6equipment grants. Equipment or matching
12.7grant allocations shall be made after
12.8considering the recommendations of the
12.9Minnesota Public Television Association.
12.10(e) $17,000 the first year and $17,000 the
12.11second year are for grants to the Twin Cities
12.12regional cable channel.
12.13(f) $413,000 in fiscal year 2008 and $287,000
12.14in fiscal year 2009 are for community service
12.15grants to public educational radio stations.
12.16(g) $400,000 in fiscal year 2008 and $100,000
12.17in fiscal year 2009 are for equipment grants
12.18to public educational radio stations.
12.19(h) The grants in paragraphs (f) and (g)
12.20must be allocated after considering the
12.21recommendations of the Association of
12.22Minnesota Public Educational Radio Stations
12.23under Minnesota Statutes, section 129D.14.
12.24(i) $830,000 the first year and $190,000
12.25the second year are for equipment grants to
12.26Minnesota Public Radio, Inc.
12.27(j) Any unencumbered balance remaining the
12.28first year for grants to public television or
12.29radio stations does not cancel and is available
12.30for the second year.
| 12.31 12.32 12.33 |
Sec. 13. CAPITOL AREA ARCHITECTURAL AND PLANNING BOARD |
$ |
427,000 |
$ |
373,000 |
||
13.2decennial expenses related to the board's
13.3duties under Minnesota Statutes, section
13.4473.864, subdivisions 1 and 2. Money
13.5appropriated in fiscal year 2008 is available
13.6until June 30, 2009. This is a onetime
13.7appropriation.
| 13.8 |
Sec. 14. FINANCE |
||||||
| 13.9 |
Subdivision 1.Total Appropriation |
$ |
21,765,000 |
$ |
15,596,000 |
||
13.11purpose are specified in the following
13.12subdivisions.
| 13.13 |
Subd. 2.State Financial Management |
8,923,000 |
8,905,000 |
||||
13.15share of the cost of bankruptcy counsel
13.16representing joint interests of the state and
13.17the city of Duluth in the Northwest Airlines
13.18bankruptcy. This is a onetime appropriation.
| 13.19 13.20 |
Subd. 3.Information and Management Services |
12,842,000 |
6,691,000 |
||||
13.22the Minnesota Accounting and Procurement
13.23System (MAPS).
| 13.24 |
Sec. 15. EMPLOYEE RELATIONS |
$ |
5,895,000 |
$ |
5,839,000 |
||
13.26Health Care Purchasing Improvement. This
13.27is a onetime appropriation.
| 13.28 |
Sec. 16. REVENUE |
||||||
| 13.29 |
Subdivision 1.Total Appropriation |
$ |
127,970,000 |
$ |
123,224,000 |
||
14.5purpose are specified in subdivisions 2 and 3.
| 14.6 |
Subd. 2.Tax System Management |
107,648,000 |
101,045,000 |
||||
14.14the second year are for additional activities
14.15to identify and collect tax liabilities from
14.16individuals and businesses that currently
14.17do not pay all taxes owed. This initiative
14.18is expected to result in new general fund
14.19revenues of $42,400,000 for the biennium
14.20ending June 30, 2009.
14.21(b) The department must report to the chairs
14.22of the house of representatives Ways and
14.23Means and senate Finance Committees by
14.24March 1, 2008, and January 15, 2009, on the
14.25following performance indicators:
14.26(1) the number of corporations noncompliant
14.27with the corporate tax system each year and
14.28the percentage and dollar amounts of valid
14.29tax liabilities collected;
14.30(2) the number of businesses noncompliant
14.31with the sales and use tax system and the
14.32percentage and dollar amount of the valid tax
14.33liabilities collected; and
15.1(3) the number of individual noncompliant
15.2cases resolved and the percentage and dollar
15.3amounts of valid tax liabilities collected.
15.4(c) The reports must also identify base-level
15.5expenditures and staff positions related to
15.6compliance and audit activities, including
15.7baseline information as of January 1, 2006.
15.8The information must be provided at the
15.9budget activity level.
15.10(d) $10,550,000 the first year is for the
15.11purchase and development of an integrated
15.12tax software package.
15.13(e) $75,000 the first year and $75,000 the
15.14second year are for grants to one or more
15.15nonprofit organizations, qualifying under
15.16section 501(c)(3) of the Internal Revenue
15.17Code of 1986, to coordinate, facilitate,
15.18encourage, and aid in the provision of
15.19taxpayer assistance services. For purposes
15.20of this paragraph, "taxpayer assistance
15.21services" means accounting and tax
15.22preparation services provided by volunteers
15.23to low-income and disadvantaged Minnesota
15.24residents to help them file federal and
15.25state income tax returns and Minnesota
15.26property tax refund claims and may include
15.27providing personal representation before
15.28the Department of Revenue and Internal
15.29Revenue Service.
| 15.30 |
Subd. 3.Accounts Receivable Management |
20,322,000 |
22,179,000 |
||||
15.32the second year are for additional activities
15.33to identify and collect tax liabilities from
15.34individuals and businesses that currently
15.35do not pay all taxes owed. This initiative
16.1is expected to result in new general fund
16.2revenues of $60,000,000 for the biennium
16.3ending June 30, 2009.
| 16.4 |
Sec. 17. GAMBLING CONTROL |
$ |
2,869,000 |
$ |
2,940,000 |
||
16.6gambling regulation account in the special
16.7revenue fund.
| 16.8 |
Sec. 18. RACING COMMISSION |
$ |
1,130,000 |
$ |
899,000 |
||
16.10and card playing regulation accounts in the
16.11special revenue fund.
16.12(b) $295,000 the first year and $64,000 the
16.13second year and thereafter are for information
16.14technology improvements implemented in
16.15consultation with the Office of Enterprise
16.16Technology as part of the small agency
16.17technology initiative.
| 16.18 |
Sec. 19. STATE LOTTERY |
||||||
16.20
16.21must not exceed $27,378,000 in fiscal year
16.222008 and $28,141,000 in fiscal year 2009.
| 16.23 |
Sec. 20. TORT CLAIMS |
$ |
161,000 |
$ |
161,000 |
||
16.25If the appropriation for either year is
16.26insufficient, the appropriation for the other
16.27year is available for it.
| 16.28 16.29 |
Sec. 21. MINNESOTA STATE RETIREMENT SYSTEM |
||||||
| 16.30 |
Subdivision 1.Total Appropriation |
$ |
1,608,000 |
$ |
1,649,000 |
||
17.2purpose are specified in the following
17.3subdivisions.
| 17.4 |
Subd. 2.Legislators |
1,170,000 |
1,200,000 |
||||
17.6subdivision 2;
17.7and
| 17.8 |
Subd. 3. Constitutional Officers |
438,000 |
449,000 |
||||
17.10If an appropriation in this section for either
17.11year is insufficient, the appropriation for the
17.12other year is available for it.
| 17.13 17.14 |
Sec. 22. MINNEAPOLIS EMPLOYEES RETIREMENT FUND |
$ |
9,000,000 |
$ |
9,000,000 |
||
17.16under Minnesota Statutes, section 422A.101,
17.17subdivision 3.
| 17.18 17.19 |
Sec. 23. TEACHERS RETIREMENT ASSOCIATION |
$ |
15,800,000 |
$ |
15,800,000 |
||
17.21follows:
| 17.22 17.23 17.24 |
(a) Special direct state aid authorized under Minnesota Statutes, section 354A.12, subdivisions 3a and 3c. |
13,300,000 |
13,300,000 |
||||
| 17.25 17.26 17.27 |
(b) Special direct state matching aid authorized under Minnesota Statutes, section 354A.12, subdivision 3b. |
2,500,000 |
2,500,000 |
||||
| 17.28 17.29 |
Sec. 24. ST. PAUL TEACHERS RETIREMENT FUND |
$ |
2,967,000 |
$ |
2,967,000 |
||
17.31special direct state aid to first class city
17.32teachers retirement funds authorized under
17.33Minnesota Statutes, section
17.34subdivisions 3a and 3c.
| 18.1 |
Sec. 25. AMATEUR SPORTS COMMISSION |
$ |
370,000 |
$ |
372,000 |
||
18.3be used for an additional event development
18.4position. This is a onetime appropriation.
18.5The base budget for the Amateur Sports
18.6Commission shall be $220,000 in fiscal year
18.72010 and $220,000 in fiscal year 2011.
18.8(b) The amount available for appropriation
18.9to the commission under Laws 2005, chapter
18.10156, article 2, section 43, is reduced in the
18.11first year and the second year by the amounts
18.12appropriated in this section.
| 18.13 18.14 |
Sec. 26. COUNCIL ON BLACK MINNESOTANS |
$ |
325,000 |
$ |
333,000 |
||
| 18.15 18.16 |
Sec. 27. COUNCIL ON CHICANO/LATINO AFFAIRS |
$ |
308,000 |
$ |
314,000 |
||
| 18.17 18.18 |
Sec. 28. COUNCIL ON ASIAN-PACIFIC MINNESOTANS |
$ |
289,000 |
$ |
289,000 |
||
| 18.19 |
Sec. 29. INDIAN AFFAIRS COUNCIL |
$ |
664,000 |
$ |
493,000 |
||
18.21acquisition of an Indian burial site in
18.22Becker County. The Indian Affairs Council
18.23shall solicit donations from federal, state,
18.24nonprofit, private, and tribal sources for this
18.25purpose. This is a onetime appropriation and
18.26is available for expenditure until June 30,
18.272009.
18.28(b) $100,000 in the first year is for transfer to
18.29the director of the Minnesota Office of Higher
18.30Education for a grant for the Dakota/Ojibwe
18.31Language Revitalization Project to expand
18.32an existing pilot project to promote activities
18.33and programs that are specific to promoting
19.1revitalization of indigenous language for
19.2American Indian children who do not live
19.3on an Indian reservation. The pilot project
19.4shall focus on developing programs that
19.5meet the language needs of children in
19.6prekindergarten through grade 12. This is a
19.7onetime appropriation.
| 19.8 19.9 |
Sec. 30. GENERAL CONTINGENT ACCOUNTS |
$ |
1,000,000 |
$ |
500,000 |
||
| 19.10 |
Appropriations by Fund |
||
| 19.11 |
2008 |
2009 |
|
| 19.12 |
General |
500,000 |
-0- |
| 19.13 19.14 |
State Government Special Revenue |
400,000 |
400,000 |
| 19.15 19.16 |
Workers' Compensation |
100,000 |
100,000 |
19.18may only be spent with the approval of
19.19the governor after consultation with the
19.20Legislative Advisory Commission pursuant
19.21to Minnesota Statutes, section 3.30.
19.22(b) If an appropriation in this section for
19.23either year is insufficient, the appropriation
19.24for the other year is available for it.
19.25(c) If a contingent account appropriation
19.26is made in one fiscal year, it should be
19.27considered a biennial appropriation.
19.28 Sec. 31. MANAGERIAL POSITION REDUCTIONS.
19.29 The governor must reduce the number of deputy commissioners, assistant
19.30commissioners, and positions designated as unclassified under authority of Minnesota
19.31Statutes, section 43A.08, subdivision 1a, by an amount that will generate savings to the
19.32general fund of $7,292,000 in the biennium ending June 30, 2009, and $7,292,000 in the
19.33biennium ending June 30, 2011.
19.34 Sec. 32. BALANCE CARRIED FORWARD.
20.1 Notwithstanding Minnesota Statutes, section 16A.1522, subdivision 4, any positive
20.2unrestricted general fund budgetary balance as of June 30, 2007, is carried forward to the
20.3fiscal year ending June 30, 2008.
20.6 Section 1. Minnesota Statutes 2006, section 3.303, is amended by adding a subdivision
20.7to read:
20.8 Subd. 8. Ethnic heritage and new Americans. The commission shall undertake
20.9activities it determines are necessary to assist state government to foster an understanding
20.10and appreciation of ethnic and cultural diversity in Minnesota, to identify underutilized
20.11resources within the immigrant community, and to facilitate the full participation of
20.12immigrants in social, cultural, and political life in this state. The commission may
20.13appoint a working group under section 3.305, subdivision 6, to assist the commission in
20.14these duties. A working group under this subdivision may include legislators and public
20.15members. The commission may provide compensation for public members as provided
20.16in section 15.0575. In performing duties under this subdivision, the commission shall
20.17collaborate with the councils established in sections 3.9223, 3.9225, and 3.9226. This
20.18subdivision expires June 30, 2009.
20.19 Sec. 2. Minnesota Statutes 2006, section 3.303, is amended by adding a subdivision to
20.20read:
20.21 Subd. 9. Preparedness for terrorism and disasters. The commission shall
20.22undertake activities it determines are necessary to advise the legislature and oversee
20.23executive activities on issues related to homeland security, emergency management,
20.24man-made and natural disasters, terrorism, bioterrorism, public health emergencies, and
20.25vulnerabilities in public and private infrastructures. The commission may appoint a
20.26working group under section 3.305, subdivision 6, to assist the commission in these duties.
20.27A working group under this subdivision may include legislators and public members.
20.28The commission may provide compensation for public members as provided in section
20.2915.0575. This subdivision expires June 30, 2011.
20.30 Sec. 3. Minnesota Statutes 2006, section 4.035, subdivision 3, is amended to read:
20.31 Subd. 3. Expiration date. Unless an earlier date is specified by statute or by
20.32executive order, an executive order shall expire 90 days after the date that the governor
20.33who issued the order
21.1EFFECTIVE DATE.This section is effective the day following final enactment.
21.2 Sec. 4. [4.60] POET LAUREATE.
21.3 (a) The position of poet laureate of the state of Minnesota is established. The
21.4Minnesota Humanities Commission must solicit nominations for the poet laureate
21.5appointment and must make recommendations to the governor. After receiving
21.6recommendations from the Minnesota Humanities Commission, the governor shall
21.7appoint a state poet laureate and conduct appropriate ceremonies to honor the person
21.8appointed. The person appointed as poet laureate continues to serve in this position until
21.9the governor appoints another person.
21.10 (b) State agencies and officers are encouraged to use the services of the poet laureate
21.11for appropriate ceremonies and celebrations.
21.12 Sec. 5. Minnesota Statutes 2006, section 5.12, subdivision 1, is amended to read:
21.13 Subdivision 1. Fees. The secretary of state shall charge a fee of $5 for each
21.14certificate or certification of a copy of any document filed in the Office of the Secretary
21.15of State. The secretary of state shall charge a fee of $3 for a copy of an original filing of
21.16a corporation, limited partnership, assumed name, or trade or service mark
21.17
21.18fee of $3 for a copy of any or all subsequent filings of a corporation, limited partnership,
21.19assumed name, or trade or service mark. The secretary of state shall charge a fee of $1 per
21.20page for copies of other nonuniform commercial code documents filed with the secretary of
21.21state. At the time of filing, the secretary of state may provide at the public counter, without
21.22charge, a copy of a filing, ten or fewer pages in length, to the person making the filing.
21.23 Sec. 6. [5.32] TEMPORARY TECHNOLOGY SURCHARGE.
21.24 Subdivision 1. Surcharge. For fiscal years 2008 and 2009, the following technology
21.25surcharges are imposed on the filing fees required under the following statutes:
21.26 (1) $25 for articles of incorporation filed under section 302A.151;
21.27 (2) $25 for articles of organization filed under section 322B.17;
21.28 (3) $25 for applications for certificates of authority to transact business in Minnesota
21.29filed under section 303.06;
21.30 (4) $20 for annual reports filed by non-Minnesota corporations under section
21.31303.14; and
21.32 (5) $50 for reinstatements to authority to transact business in Minnesota filed under
21.33section 303.19.
22.1 Subd. 2. Deposit. The surcharges listed in subdivision 1 shall be deposited into the
22.2uniform commercial code account.
22.3 Subd. 3. Expiration. This section expires June 30, 2009.
22.4 Sec. 7. [11A.27] REPORT ON INVESTMENT CONSULTANT ACTIVITIES
22.5AND DELIVERABLES.
22.6 (a) Annually, on or before November 1, the State Board of Investment shall file a
22.7report with the Legislative Reference Library on the activities and work product during
22.8that year of any investment consultants retained by the board.
22.9 (b) The report must include the following items:
22.10 (1) the total contract fee paid to each investment consultant;
22.11 (2) a listing of the projects in which the investment consultant was involved; and
22.12 (3) examples of the written work product provided by the investment consultant on
22.13those projects during the report coverage period.
22.14EFFECTIVE DATE.This section is effective June 30, 2007.
22.15 Sec. 8. [13.595] GRANTS.
22.16 Subdivision 1. Definitions. For purposes of this section, the following terms have
22.17the meanings given them.
22.18 (a) "Completion of the evaluation process" means that the granting agency has
22.19completed negotiating the grant agreement with the selected grantee.
22.20 (b) "Grant agreement" has the meaning given in section 16B.97, subdivision 1.
22.21 (c) "Grantee" means a person that applies for or receives a grant.
22.22 (d) "Granting agency" means the state agency that provides the grant.
22.23 (e) "Opened" means the act that occurs once the deadline for submitting a response
22.24to a proposal to the granting agency has been reached.
22.25 (f) "Request for proposal" means the data outlining the responsibilities the granting
22.26agency wants the grantee to assume.
22.27 (g) "Response" means the data submitted by a grantee as required by a request for
22.28proposal.
22.29 Subd. 2. Request for applications. Data created by a granting agency to create a
22.30request for proposal is classified as nonpublic until the request for proposal is published.
22.31To the extent that a granting agency involves persons outside the granting agency to create
22.32the request for proposal, the data remain nonpublic in the hands of all persons who may
22.33not further disseminate any data that are created or reviewed as part of the request for
22.34proposal development. At publication, the data in the request for proposal is public.
23.1 Subd. 3. Responses to request for proposals. (a) Responses submitted by a grantee
23.2are private or nonpublic until the responses are opened. Once the responses are opened,
23.3the name and address of the grantee and the amount requested is public. All other data in a
23.4response is private or nonpublic data until completion of the evaluation process. After a
23.5granting agency has completed the evaluation process, all remaining data in the responses
23.6is public with the exception of trade secret data as defined and classified in section 13.37.
23.7A statement by a grantee that the response is copyrighted or otherwise protected does
23.8not prevent public access to the response.
23.9 (b) If all responses are rejected prior to completion of the evaluation process,
23.10all data, other than that made public at the opening, remain private or nonpublic
23.11until a resolicitation of proposals results in completion of the evaluation process or a
23.12determination is made to abandon the grant. If the rejection occurs after the completion of
23.13the evaluation process, the data remain public. If a resolicitation of proposals does not
23.14occur within one year of the grant opening date, the remaining data become public.
23.15 Subd. 4. Evaluation data. (a) Data created or maintained by a granting agency as
23.16part of the evaluation process referred to in this section are protected nonpublic data until
23.17completion of the evaluation process at which time the data are public with the exception
23.18of trade secret data as defined and classified in section 13.37.
23.19 (b) If a granting agency asks individuals outside the granting agency to assist with
23.20the evaluation of the responses, the granting agency may share not public data in the
23.21responses with those individuals. The individuals participating in the evaluation may not
23.22further disseminate the not public data they review.
23.23 Sec. 9. Minnesota Statutes 2006, section 15.06, subdivision 2, is amended to read:
23.24 Subd. 2. Term of office; successor. The term of a commissioner shall end with the
23.25term of the office of governor.
23.26term shall end
23.27vacates office. The appointing authority shall submit to the president of the senate
23.28the name of an appointee as permanent commissioner as provided by section
23.29subdivision 2
23.30and within 45 legislative days after the occurrence of a vacancy. The appointee shall
23.31take office as permanent commissioner when the senate notifies the appointing authority
23.32that it has consented to the appointment. A commissioner shall serve at the pleasure of
23.33the appointing authority.
23.34EFFECTIVE DATE.This section is effective the day following final enactment.
24.1 Sec. 10. Minnesota Statutes 2006, section 15B.17, subdivision 1, is amended to read:
24.2 Subdivision 1. Proposals. (a) Before a state agency or other public body develops
24.3
24.4improvements within the Capitol Area to submit to the legislature and the governor,
24.5it must consult with the board.
24.6 (b) The public body must provide enough money for the board's review and planning
24.7if the board decides its review and planning services are necessary. Money received by the
24.8board under this subdivision is deposited in the special revenue fund and appropriated to
24.9the board.
24.10 Sec. 11. Minnesota Statutes 2006, section 16A.102, subdivision 4, is amended to read:
24.11 Subd. 4. Reporting information.
24.12the time of a state revenue and expenditure forecast as specified in section
24.13subdivision 1
24.14must report on revenue relative to personal income
24.15information must specify (1) the share of personal income to be collected in taxes and
24.16other revenues to pay for state and local government services and (2) the division of that
24.17revenue between state and local government revenues.
24.18 Sec. 12. Minnesota Statutes 2006, section 16A.103, subdivision 1e, is amended to read:
24.19 Subd. 1e. Economic information. The commissioner must review economic
24.20information including economic forecasts with legislative fiscal staff no later than two
24.21weeks before the forecast is released. The commissioner must invite the chairs and lead
24.22minority members of the senate
24.23Ways and Means Committee, and legislative fiscal staff to attend any meetings held with
24.24outside economic advisors. The commissioner must provide legislative fiscal staff with
24.25monthly economic forecast information received from outside sources.
24.26 Sec. 13. Minnesota Statutes 2006, section 16A.1286, subdivision 2, is amended to read:
24.27 Subd. 2. Billing procedures. The commissioner may bill up to $7,520,000 in
24.28each fiscal year for statewide systems services provided to state agencies, judicial branch
24.29agencies, the University of Minnesota, the Minnesota State Colleges and Universities,
24.30and other entities.
24.31
24.32agency operating appropriations to the statewide systems account the amount billed by
24.33the commissioner. Billing policies and procedures related to statewide systems services
25.1must be developed by the commissioner in consultation with the commissioners of
25.2employee relations and administration, the University of Minnesota, and the Minnesota
25.3State Colleges and Universities.
25.4 Sec. 14. Minnesota Statutes 2006, section 16A.695, subdivision 2, is amended to read:
25.5 Subd. 2. Leases and management contracts. (a) A public officer or agency that
25.6is authorized by law to lease or enter into a management contract with respect to state
25.7bond financed property shall comply with this subdivision. A reference to a lease or
25.8management contract in this subdivision includes any amendments, modifications, or
25.9alterations to the referenced lease or management contract and refers to the lease wherein
25.10the public officer or agency is the lessor of the state bond financed property and the other
25.11contracting party is the lessee.
25.12 (b) The lease or management contract may be entered into for the express purpose of
25.13carrying out a governmental program established or authorized by law and established by
25.14official action of the contracting public officer or agency, in accordance with orders of the
25.15commissioner intended to ensure the legality and tax-exempt status of bonds issued to
25.16finance the property, and with the approval of the commissioner. A lease or management
25.17contract
25.18term substantially less than the useful life of the property, but may allow renewal beyond
25.19that term upon a determination by the lessor that the lessee has demonstrated that the use
25.20continues to carry out the governmental program. If the lessor and lessee do not renew the
25.21lease or management contract and if the lessee has contributed to the land and the capital
25.22improvements on the state bond financed property, the lessor may agree to reimburse the
25.23lessee for its investment in the land and capital improvements. The reimbursement may be
25.24paid, at the option of the lessor and lessee, at the time of nonrenewal without a requirement
25.25for a prior escrow of funds or at a later date and on additional terms agreed to by the lessor
25.26and the lessee. A lease or management contract must be terminable by the contracting
25.27public officer or agency if the other contracting party defaults under the contract or if the
25.28governmental program is terminated or changed, and must provide for program oversight
25.29by the contracting public officer or agency. The expiration or termination of a lease or
25.30management agreement does not require that the state bond proceeds be repaid or that
25.31the property be sold, so long as the property continues to be operated by, or on behalf of,
25.32the public officer or agency for the intended governmental program. Money received by
25.33the public officer or agency under the lease or management contract that is not needed
25.34to pay and not authorized to be used to pay operating costs of the property, or to pay the
26.1principal, interest, redemption premiums, and other expenses when due on debt related to
26.2the property other than state bonds, must be:
26.3 (1) paid to the commissioner in the same proportion as the state bond financing is
26.4to the total public debt financing for the property, excluding debt issued by a unit of
26.5government for which it has no financial liability;
26.6 (2) deposited in the state bond fund; and
26.7 (3) used to pay or redeem or defease bonds issued to finance the property in
26.8accordance with the commissioner's order authorizing their issuance.
26.9 The money paid to the commissioner is appropriated for this purpose.
26.10 (c) With the approval of the commissioner, a lease or management contract between
26.11a city and a nonprofit corporation under section
26.12the lessee to pay rentals sufficient to pay the principal, interest, redemption premiums,
26.13and other expenses when due with respect to state bonds issued to acquire and better
26.14the facilities.
26.15EFFECTIVE DATE.This section is effective retroactively from January 1, 2006,
26.16and applies to leases, grant agreements, or management agreements entered into on or
26.17after that date.
26.18 Sec. 15. Minnesota Statutes 2006, section 16A.695, subdivision 3, is amended to read:
26.19 Subd. 3. Sale of property. A public officer or agency shall not sell any state bond
26.20financed property unless the public officer or agency determines by official action that
26.21the property is no longer usable or needed by the public officer or agency to carry out
26.22the governmental program for which it was acquired or constructed, the sale is made as
26.23authorized by law, the sale is made for fair market value, and the sale is approved by the
26.24commissioner. If any state bonds issued to purchase or better the state bond financed
26.25property that is sold remain outstanding on the date of sale, the net proceeds of sale must
26.26be applied as follows:
26.27 (1) if the state bond financed property was acquired and bettered solely with state
26.28bond proceeds, the net proceeds of sale must be paid to the commissioner
26.29in the state
26.30
26.31
26.32 (2) if the state bond financed property was acquired or bettered partly with state
26.33bond proceeds and partly with other money, the net proceeds of sale must be used: first, to
26.34pay to the state the amount of state bond proceeds used to acquire or better the property;
26.35second, to pay in full any outstanding public or private debt incurred to acquire or better
27.1the property;
27.2public officer or agency or any private lender already paid in full, the amount of money
27.3contributed to the acquisition or betterment of the property; and fourth, any excess over the
27.4amount needed for those purposes must be divided in proportion to the shares contributed
27.5to the acquisition or betterment of the property and paid to the interested public and
27.6private entities, other than any private lender already paid in full, and the proceeds are
27.7appropriated for this purpose. In calculating the share contributed by each entity, the
27.8amount to be attributed to the owner of the property shall be the fair market value of the
27.9property that was bettered by state bond proceeds at the time the betterment began.
27.10 When all of the net proceeds of sale have been applied as provided in this
27.11subdivision, this section no longer applies to the property.
27.12EFFECTIVE DATE.This section is effective retroactively from January 1, 2006,
27.13and applies to leases, grant agreements, or management agreements entered into on or
27.14after that date.
27.15 Sec. 16. Minnesota Statutes 2006, section 16A.695, is amended by adding a
27.16subdivision to read:
27.17 Subd. 6. Match requirements. Recipients of grants from money appropriated
27.18from the bond proceeds fund may be required to demonstrate a commitment of money
27.19from nonstate sources. This matching money may be pledged payments that have been
27.20deposited into a segregated account or multiyear pledges that are converted into cash or
27.21cash equivalent through a loan or irrevocable letter of credit from a financial institution.
27.22The loan or irrevocable letter of credit may be secured by a lien on the state bond financed
27.23property.
27.24EFFECTIVE DATE.This section is effective retroactively from January 1, 2006,
27.25and applies to leases, grant agreements, or management agreements entered into on or
27.26after that date.
27.27 Sec. 17. Minnesota Statutes 2006, section 16A.695, is amended by adding a
27.28subdivision to read:
27.29 Subd. 7. Ground lease for state bond financed property. A public officer or
27.30agency, as lessee, may lease real property and improvements that are to be acquired or
27.31improved with state bond proceeds. The lease must be for a term equal to or longer than
27.32125 percent of the useful life of the property. The expiration of the lease upon the end of
28.1its term does not require that the state be repaid or that the property be sold and upon the
28.2expiration the real property and improvements are no longer state bond financed property.
28.3EFFECTIVE DATE.This section is effective retroactively from January 1, 2006,
28.4and applies to leases, grant agreements, or management agreements entered into on or
28.5after that date.
28.6 Sec. 18. Minnesota Statutes 2006, section 16A.695, is amended by adding a
28.7subdivision to read:
28.8 Subd. 8. General applicability. (a) This section establishes requirements for
28.9the receipt and use of general obligation grants and the ownership and operation of
28.10state bond-financed property. General obligation grants may only be issued and used to
28.11finance the acquisition and betterment of public lands and buildings and other public
28.12improvements of a capital nature that are used to operate a governmental program, and
28.13for predesign and design activities for specifically identified projects that involve the
28.14operation of a governmental program or activity. A general obligation grant may not be
28.15used for general operating expenses, staffing, or general master planning. A public officer
28.16or agency that is the recipient of a general obligation grant must comply with this section
28.17in its use of the general obligation grant and operation, management, lease, and sale
28.18of state bond-financed property. A public officer or agency that uses the proceeds of a
28.19general obligation grant for any unauthorized purpose or in violation of this section must
28.20immediately repay the outstanding balance of the grant to the commissioner, and a failure
28.21to comply authorizes the commissioner to recover the outstanding balance as a setoff
28.22against any state aid provided to the public officer or agency.
28.23 (b) This section does not create any new authority regarding the ownership,
28.24construction, rehabilitation, use, operation, lease management, or sale of state
28.25bond-financed property, or the operation of the governmental program that will be
28.26operated on the property. Any authority that is needed to enter into a management contract
28.27or lease of property, to sell property, or to operate a governmental program or carry out
28.28any activity contained in the law that appropriates money for a general obligation grant
28.29must be provided by as contained in some other law.
28.30EFFECTIVE DATE.This section is effective on and after July 1, 2007.
28.31 Sec. 19. Minnesota Statutes 2006, section 16A.695, is amended by adding a
28.32subdivision to read:
29.1 Subd. 9. Grant agreement. All general obligation grants must be evidenced by
29.2a grant agreement that specifies:
29.3 (1) how the general obligation grant will be used;
29.4 (2) the governmental program that will be operated on the state bond-financed
29.5property; and
29.6 (3) that the state bond-financed property must be operated in compliance with this
29.7section, all state and federal laws, and in a manner that will not cause the interest on the
29.8state general obligation bonds to be or become subject to federal income taxation for any
29.9reason. A grant agreement must comply with this section, the Minnesota Constitution,
29.10and all commissioner's orders, and also contain other provisions the commissioner of the
29.11agency making the grant deems appropriate. The commissioner shall draft and make
29.12available forms for grant agreements that satisfy the requirements of this subdivision.
29.13EFFECTIVE DATE.This section is effective on and after July 1, 2007.
29.14 Sec. 20. Minnesota Statutes 2006, section 16B.055, subdivision 1, is amended to read:
29.15 Subdivision 1.
29.16
29.17
29.18
29.19
29.20
29.21under the Assistive Technology Act of 1998, as provided by Public Law 108-364, as
29.22amended. The Minnesota Assistive Technology Advisory Council is established to fulfill
29.23the responsibilities required by the Assistive Technology Act, as provided by Public Law
29.24108-364, as amended. Because the existence of this council is required by federal law, this
29.25council does not expire and the expiration date provided in section 15.059, subdivision
29.265, does not apply.
29.27 (b) The governor shall appoint the membership of the council as required by the
29.28Assistive Technology Act of 1998, as provided by Public Law 108-364, as amended.
29.29After the governor has completed the appointments required by this subdivision, the
29.30commissioner of administration, or the commissioner's designee, shall convene the first
29.31meeting of the council following the appointments. Members shall serve two-year
29.32terms commencing July 1 of each odd-numbered year, and receive the compensation
29.33specified by the Assistive Technology Act of 1998, as provided by Public Law 108-364, as
29.34amended. The members of the council shall select their chair at the first meeting following
29.35their appointment.
30.1 Sec. 21. Minnesota Statutes 2006, section 16B.24, subdivision 5, is amended to read:
30.2 Subd. 5. Renting out state property. (a) Authority. The commissioner may rent
30.3out state property, real or personal, that is not needed for public use, if the rental is not
30.4otherwise provided for or prohibited by law. The property may not be rented out for
30.5more than five years at a time without the approval of the State Executive Council and
30.6may never be rented out for more than 25 years. A rental agreement may provide that
30.7the state will reimburse a tenant for a portion of capital improvements that the tenant
30.8makes to state real property if the state does not permit the tenant to renew the lease at
30.9the end of the rental agreement.
30.10 (b) Restrictions. Paragraph (a) does not apply to state trust fund lands, other state
30.11lands under the jurisdiction of the Department of Natural Resources, lands forfeited for
30.12delinquent taxes, lands acquired under section
30.14 (c) Rental of living accommodations. The commissioner shall establish rental rates
30.15for all living accommodations provided by the state for its employees. Money collected as
30.16rent by state agencies pursuant to this paragraph must be deposited in the state treasury
30.17and credited to the general fund.
30.18 (d) Lease of space in certain state buildings to state agencies. The commissioner
30.19may lease portions of the state-owned buildings
30.20
30.21
30.22the court administrator on behalf of the judicial branch of state government and charge
30.23rent on the basis of space occupied. Notwithstanding any law to the contrary, all money
30.24collected as rent pursuant to the terms of this section shall be deposited in the state
30.25treasury. Money collected as rent to recover the bond interest costs of a building funded
30.26from the state bond proceeds fund shall be credited to the general fund. Money collected
30.27as rent to recover the depreciation costs of a building funded from the state bond proceeds
30.28fund and money collected as rent to recover capital expenditures from capital asset
30.29preservation and replacement appropriations and statewide building access appropriations
30.30shall be credited to a segregated asset preservation and replacement account in a special
30.31revenue fund. Fifty percent of the money credited to the account each fiscal year must
30.32be transferred to the general fund. The remaining money in the account is appropriated
30.33to the commissioner to be expended for asset preservation projects as determined by the
30.34commissioner. Money collected as rent to recover the depreciation and interest costs of
30.35a building built with other state dedicated funds shall be credited to the dedicated fund
31.1which funded the original acquisition or construction. All other money received shall be
31.2credited to the general services revolving fund.
31.3 (e) Lease of space in Andersen and Freeman buildings. The commissioner may
31.4lease space in the Elmer L. Andersen and Orville L. Freeman buildings to state agencies
31.5and charge rent on the basis of space occupied. Money collected as rent under this
31.6paragraph to fund future building repairs must be credited to a segregated account for each
31.7building in the special revenue fund and is appropriated to the commissioner to make
31.8the repairs. When the state acquires title to each building, the account for that building
31.9must be abolished and any balance remaining in the account must be transferred to the
31.10appropriate asset preservation and replacement account created under paragraph (d).
31.11 Sec. 22. Minnesota Statutes 2006, section 16B.35, subdivision 1, is amended to read:
31.12 Subdivision 1. Percent of appropriations for art. An appropriation for the
31.13construction or alteration of any state building may contain an amount not to exceed
31.14
31.15acquisition of works of art, excluding landscaping, which may be an integral part of the
31.16building or its grounds, attached to the building or grounds or capable of being displayed
31.17in other state buildings.
31.18
31.19
31.20for this purpose is available only for the acquisition of works of art to be exhibited in areas
31.21of a building or its grounds accessible, on a regular basis, to members of the public. No
31.22more than ten percent of the total amount available each fiscal year under this subdivision
31.23may be used for administrative expenses, either by the commissioner of administration or
31.24by any other entity to whom the commissioner delegates administrative authority. For the
31.25purposes of this section "state building" means a building the construction or alteration of
31.26which is paid for wholly or in part by the state.
31.27EFFECTIVE DATE.This section is effective July 1, 2007. The repeal of the
31.28$100,000 limit in this section applies to appropriations made before, on, or after that date.
31.29 Sec. 23. [16B.97] GRANTS MANAGEMENT.
31.30 Subdivision 1. Grant agreement. (a) A grant agreement is a written instrument or
31.31electronic document defining a legal relationship between a granting agency and a grantee
31.32when the principal purpose of the relationship is to transfer cash or something of value
31.33to the recipient to support a public purpose authorized by law instead of acquiring by
32.1professional or technical contract, purchase, lease, or barter property or services for the
32.2direct benefit or use of the granting agency.
32.3 (b) This section does not apply to capital project grants to political subdivisions as
32.4defined by section 16A.86.
32.5 Subd. 2. Grants governance. The commissioner shall provide leadership and
32.6direction for policy related to grants management in Minnesota in order to foster more
32.7consistent, streamlined interaction between executive agencies, funders, and grantees that
32.8will enhance access to grant opportunities and information and lead to greater program
32.9accountability and transparency. The commissioner has the duties and powers stated in this
32.10section. An executive agency must do what the commissioner requires under this section.
32.11 Subd. 3. Discretionary powers. The commissioner has the authority to:
32.12 (1) review grants management practices and propose policy and procedure
32.13improvements to the governor, legislature, executive agencies, and the federal government;
32.14 (2) sponsor, support, and facilitate innovative and collaborative grants management
32.15projects with public and private organizations;
32.16 (3) review, recommend, and implement alternative strategies for grants management;
32.17 (4) collect and disseminate information, issue reports relating to grants management,
32.18and sponsor and conduct conferences and studies; and
32.19 (5) participate in conferences and other appropriate activities related to grants
32.20management issues.
32.21 Subd. 4. Duties. (a) The commissioner shall:
32.22 (1) create general grants management policies and procedures that are applicable to
32.23all executive agencies. The commissioner may approve exceptions to these policies and
32.24procedures for particular grant programs. Exceptions shall expire or be renewed after five
32.25years. Executive agencies shall retain management of individual grants programs;
32.26 (2) provide a central point of contact concerning statewide grants management
32.27policies and procedures;
32.28 (3) serve as a resource to executive agencies in such areas as training, evaluation,
32.29collaboration, and best practices in grants management;
32.30 (4) ensure grants management needs are considered in the development, upgrade,
32.31and use of statewide administrative systems and leverage existing technology wherever
32.32possible;
32.33 (5) oversee and approve future professional and technical service contracts and
32.34other information technology spending related to executive agency grants management
32.35activities;
33.1 (6) provide a central point of contact for comments about executive agencies
33.2violating statewide grants governance policies and about fraud and waste in grants
33.3processes;
33.4 (7) forward received comments to the appropriate agency for further action, and may
33.5follow up as necessary;
33.6 (8) provide a single listing of all available executive agency competitive grant
33.7opportunities and resulting grant recipients;
33.8 (9) selectively review development and implementation of executive agency grants,
33.9policies, and practices; and
33.10 (10) selectively review executive agency compliance with best practices.
33.11 (b) The commissioner may determine that it is cost-effective for agencies to develop
33.12and use shared grants management technology systems. This system would be governed
33.13under section 16E.01, subdivision 3, paragraph (b).
33.14 Sec. 24. [16B.98] GRANTS MANAGEMENT PROCESS.
33.15 Subdivision 1. Limitation. As a condition of receiving a grant from an appropriation
33.16of state funds, the recipient of the grant must agree to minimize administrative costs. The
33.17granting agency is responsible for negotiating appropriate limits to these costs so that the
33.18state derives the optimum benefit for grant funding.
33.19 Subd. 2. Ethical practices and conflict of interest. An employee of the executive
33.20branch involved directly or indirectly in grants processes, at any level, is subject to the
33.21code of ethics in section 43A.38.
33.22 Subd. 3. Conflict of interest. (a) The commissioner must develop policies
33.23regarding code of ethics and conflict of interest designed to prevent conflicts of interest for
33.24employees, committee members, or others involved in the recommendation, awarding,
33.25and administration of grants. The policies must apply to employees who are directly or
33.26indirectly in the grants process, which may include the following:
33.27 (1) developing request for proposals or evaluation criteria;
33.28 (2) drafting, recommending, awarding, amending, revising, or entering into grant
33.29agreements;
33.30 (3) evaluating or monitoring performance; or
33.31 (4) authorizing payments.
33.32 (b) The policies must include:
33.33 (1) a process to make all parties to the grant aware of policies and laws relating to
33.34conflict of interest, and training on how to avoid and address potential conflicts; and
34.1 (2) a process under which those who have a conflict of interest or a potential conflict
34.2of interest must disclose the matter.
34.3 (c) If the employee, appointing authority, or commissioner determines that a conflict
34.4of interest exists, the matter shall be assigned to another employee who does not have a
34.5conflict of interest. If it is not possible to assign the matter to an employee who does not
34.6have a conflict of interest, interested personnel shall be notified of the conflict and the
34.7employee may proceed with the assignment.
34.8 Subd. 4. Reporting of violations. A state employee who discovers evidence
34.9of violation of laws or rules governing grants is encouraged to report the violation or
34.10suspected violation to the employee's supervisor, the commissioner or the commissioner's
34.11designee, or the legislative auditor. The legislative auditor shall report to the Legislative
34.12Audit Commission if there are multiple complaints about the same agency. The auditor's
34.13report to the Legislative Audit Commission under this section must disclose only the
34.14number and type of violations alleged. An employee making a good faith report under this
34.15section has the protections provided for under section 181.932, prohibiting the employer
34.16from discriminating against the employee.
34.17 Subd. 5. Creation and validity of grant agreements. (a) A grant agreement is
34.18not valid and the state is not bound by the grant unless:
34.19 (1) the grant has been executed by the head of the agency or a delegate who is
34.20party to the grant; and
34.21 (2) the accounting system shows an encumbrance for the amount of the grant in
34.22accordance with policy approved by the commissioner.
34.23 (b) The combined grant agreement and amendments must not exceed five years
34.24without specific, written approval by the commissioner according to established policy,
34.25procedures, and standards, or unless the commissioner determines that a longer duration is
34.26in the best interest of the state.
34.27 (c) A fully executed copy of the grant agreement with all amendments and other
34.28required records relating to the grant must be kept on file at the granting agency for a time
34.29equal to that required of grantees in subdivision 8.
34.30 (d) Grant agreements must comply with policies established by the commissioner
34.31for minimum grant agreement standards and practices.
34.32 (e) The attorney general may periodically review and evaluate a sample of state
34.33agency grants to ensure compliance with applicable laws.
34.34 Subd. 6. Grant administration. A granting agency shall diligently administer
34.35and monitor any grant it has entered into.
35.1 Subd. 7. Grant payments. Payments to the grantee may not be issued until the
35.2grant agreement is fully executed.
35.3 Subd. 8. Audit. (a) A grant agreement made by an executive agency must include an
35.4audit clause that provides that the books, records, documents, and accounting procedures
35.5and practices of the grantee or other party that are relevant to the grant or transaction are
35.6subject to examination by the granting agency and either the legislative auditor or the state
35.7auditor, as appropriate, for a minimum of six years from the grant agreement end date,
35.8receipt and approval of all final reports, or the required period of time to satisfy all state
35.9and program retention requirements, whichever is later. If a grant agreement does not
35.10include an express audit clause, the audit authority under this subdivision is implied.
35.11 (b) If the granting agency is a local unit of government, and the governing body of
35.12the local unit of government requests that the state auditor examine the books, records,
35.13documents, and accounting procedures and practices of the grantee or other party
35.14according to this subdivision, the granting agency shall be liable for the cost of the
35.15examination. If the granting agency is a local unit of government, and the grantee or other
35.16party requests that the state auditor examine all books, records, documents, and accounting
35.17procedures and practices related to the grant, the grantee or other party that requested the
35.18examination shall be liable for the cost of the examination.
35.19 Subd. 9. Authority of attorney general. The attorney general may pursue
35.20remedies available by law to avoid the obligation of an agency to pay under a grant or to
35.21recover payments made if activities under the grant are so unsatisfactory, incomplete, or
35.22inconsistent that payment would involve unjust enrichment. The contrary opinion of the
35.23granting agency does not affect the power of the attorney general under this subdivision.
35.24 Subd. 10. Grants with Indian tribes and bands. Notwithstanding any other law,
35.25an agency may not require an Indian tribe or band to deny its sovereignty as a requirement
35.26or condition of a grant with an agency.
35.27 Sec. 25. Minnesota Statutes 2006, section 16C.02, is amended by adding a subdivision
35.28to read:
35.29 Subd. 3a. Best and final offer. "Best and final offer" means an optional step in
35.30the solicitation process in which responders are requested to improve their response by
35.31methods including, but not limited to, the reduction of cost, clarification or modification of
35.32the response, or the provision of additional information.
35.33 Sec. 26. Minnesota Statutes 2006, section 16C.02, subdivision 4, is amended to read:
36.1 Subd. 4. Best value. "Best value" describes a result intended in the acquisition of all
36.2goods and services. Price must be one of the evaluation criteria when acquiring goods
36.3and services. Other evaluation criteria may include, but are not limited to, environmental
36.4considerations, quality, and vendor performance. In achieving "best value" strategic
36.5sourcing tools, including but not limited to best and final offers, negotiations, contract
36.6consolidation, product standardization, and mandatory-use enterprise contracts shall be
36.7used at the commissioner's discretion.
36.8 Sec. 27. Minnesota Statutes 2006, section 16C.02, is amended by adding a subdivision
36.9to read:
36.10 Subd. 6a. Enterprise procurement. "Enterprise procurement" means the process
36.11undertaken by the commissioner to leverage economies of scale of multiple end users to
36.12achieve cost savings and other favorable terms in contracts for goods and services.
36.13 Sec. 28. Minnesota Statutes 2006, section 16C.02, subdivision 12, is amended to read:
36.14 Subd. 12. Request for proposal or RFP. "Request for proposal" or "RFP" means a
36.15solicitation in which it is not advantageous to set forth all the actual, detailed requirements
36.16at the time of solicitation and responses are
36.17best value for the state.
36.18 Sec. 29. Minnesota Statutes 2006, section 16C.02, subdivision 14, is amended to read:
36.19 Subd. 14. Response. "Response" means the offer received from a vendor in
36.20response to a solicitation. A response includes submissions commonly referred to as
36.21"offers," "bids," "quotes,"
36.22 Sec. 30. Minnesota Statutes 2006, section 16C.02, is amended by adding a subdivision
36.23to read:
36.24 Subd. 20. Strategic sourcing. "Strategic sourcing" means methods used to
36.25analyze and reduce spending on goods and services, including but not limited to
36.26spend analysis, product standardization, contract consolidation, negotiations, multiple
36.27jurisdiction purchasing alliances, reverse and forward auctions, life-cycle costing, and
36.28other techniques.
36.29 Sec. 31. Minnesota Statutes 2006, section 16C.03, subdivision 2, is amended to read:
36.30 Subd. 2. Rulemaking authority. Subject to chapter 14, the commissioner may
36.31adopt rules, consistent with this chapter and chapter 16B, relating to the following topics:
37.1 (1) procurement process including solicitations and responses to solicitations, bid
37.2security, vendor errors, opening of responses, award of contracts, tied bids, and award
37.3protest process;
37.4 (2) contract performance and failure to perform;
37.5 (3) authority to debar or suspend vendors, and reinstatement of vendors;
37.6 (4) contract cancellation;
37.7 (5) procurement from rehabilitation facilities; and
37.8 (6) organizational conflicts of interest.
37.9 Sec. 32. Minnesota Statutes 2006, section 16C.03, subdivision 4, is amended to read:
37.10 Subd. 4. Contracting authority. The commissioner shall conduct all contracting by,
37.11for, and between agencies and perform all contract management and review functions for
37.12contracts, except those functions specifically delegated to be performed by the contracting
37.13agency, the attorney general, or otherwise provided for by law. The commissioner may
37.14require that agency staff participate in the development of enterprise procurements
37.15including the development of product standards, specifications and other requirements.
37.16 Sec. 33. Minnesota Statutes 2006, section 16C.03, subdivision 8, is amended to read:
37.17 Subd. 8. Policy and procedures. The commissioner is authorized to issue policies,
37.18procedures, and standards applicable to all acquisition activities by and for agencies.
37.19Consistent with the authority specified in this chapter, the commissioner shall develop
37.20and implement policies, procedures, and standards ensuring the optimal use of strategic
37.21sourcing techniques.
37.22 Sec. 34. Minnesota Statutes 2006, section 16C.03, subdivision 16, is amended to read:
37.23 Subd. 16. Delegation of duties. The commissioner may delegate duties imposed by
37.24this chapter to the head of an agency and to any subordinate of the agency head. Delegated
37.25duties shall be exercised in the name of the commissioner and under the commissioner's
37.26direct supervision and control. A delegation of duties may include, but is not limited to,
37.27allowing individuals within agencies to acquire goods, services, and utilities within dollar
37.28limitations and for designated types of acquisitions. Delegation of contract management
37.29and review functions must be filed with the secretary of state and may not, except with
37.30respect to delegations within the Department of Administration, exceed two years in
37.31duration. The commissioner may withdraw any delegation at the commissioner's sole
37.32discretion. The commissioner may require an agency head or subordinate to accept
38.1delegated responsibility to procure goods or services intended for the exclusive use of the
38.2agency receiving the delegation.
38.3 Sec. 35. [16C.046] WEB SITE WITH SEARCHABLE DATABASE ON STATE
38.4CONTRACTS AND GRANTS.
38.5 (a) The commissioner of administration must maintain a Web site with a searchable
38.6database providing the public with information on state contracts, including grant
38.7contracts. The database must include the following information for each state contract
38.8valued in excess of $25,000:
38.9 (1) the name and address of the entity receiving the contract;
38.10 (2) the name of the agency entering into the contract;
38.11 (3) whether the contract is:
38.12 (i) for goods;
38.13 (ii) for professional or technical services;
38.14 (iii) for services other than professional and technical services; or
38.15 (iv) a grant;
38.16 (4) a brief statement of the purpose of the contract or grant;
38.17 (5) the amount of the contract or grant and the fund from which this amount will be
38.18paid; and
38.19 (6) the dollar value of state contracts, other than grants, the entity has received in each
38.20fiscal year and the dollar value of state grants the entity has received in each fiscal year.
38.21 (b) Required information on a new contract or grant must be entered into the
38.22database within 30 days of the time the contract is entered into.
38.23 (c) For purposes of this section, a "grant" is a contract between a state agency and
38.24a recipient, the primary purpose of which is to transfer cash or a thing of value to the
38.25recipient to support a public purpose. Grant does not include payments to units of local
38.26government, payments to state employees, or payments made under laws providing for
38.27assistance to individuals.
38.28 (d) The database must include information on grants and contracts entered into
38.29beginning with fiscal year 2008 funds, and must retain that data for ten years.
38.30EFFECTIVE DATE.This section is effective January 1, 2008.
38.31 Sec. 36. Minnesota Statutes 2006, section 16C.05, subdivision 1, is amended to read:
38.32 Subdivision 1. Agency cooperation. Agencies shall fully cooperate with the
38.33commissioner in the management and review of state contracts and in the development
38.34and implementation of strategic sourcing techniques.
39.1 Sec. 37. Minnesota Statutes 2006, section 16C.05, subdivision 2, is amended to read:
39.2 Subd. 2. Creation and validity of contracts. (a) A contract is not valid and the state
39.3is not bound by it and no agency, without the prior written approval of the commissioner
39.4granted pursuant to subdivision 2a, may authorize work to begin on it unless:
39.5 (1) it has first been executed by the head of the agency or a delegate who is a party
39.6to the contract;
39.7 (2) it has been approved by the commissioner; and
39.8 (3) the accounting system shows an encumbrance for the amount of the contract
39.9liability, except as allowed by policy approved by the commissioner and commissioner of
39.10finance for routine, low-dollar procurements.
39.11 (b) The combined contract and amendments must not exceed five years without
39.12specific, written approval by the commissioner according to established policy, procedures,
39.13and standards, or unless otherwise provided for by law. The term of the original contract
39.14must not exceed two years unless the commissioner determines that a longer duration is
39.15in the best interest of the state.
39.16 (c) Grants, interagency agreements, purchase orders, work orders, and annual plans
39.17need not, in the discretion of the commissioner and attorney general, require the signature
39.18of the commissioner and/or the attorney general. A signature is not required for work
39.19orders and amendments to work orders related to Department of Transportation contracts.
39.20Bond purchase agreements by the Minnesota Public Facilities Authority do not require
39.21the approval of the commissioner.
39.22 (d) Amendments to contracts must entail tasks that are substantially similar to
39.23those in the original contract or involve tasks that are so closely related to the original
39.24contract that it would be impracticable for a different contractor to perform the work. The
39.25commissioner or an agency official to whom the commissioner has delegated contracting
39.26authority under section
39.27serve the interest of the state better than a new contract and would cost no more.
39.28 (e) A fully executed copy of every contract, amendments to the contract, and
39.29performance evaluations relating to the contract must be kept on file at the contracting
39.30agency for a time equal to that specified for contract vendors and other parties in
39.31subdivision 5.
39.32 (f) The attorney general must periodically review and evaluate a sample of state
39.33agency contracts to ensure compliance with laws.
39.34 Sec. 38. Minnesota Statutes 2006, section 16C.08, is amended by adding a subdivision
39.35to read:
40.1 Subd. 1a. Enterprise procurement. Notwithstanding section 15.061 or any
40.2other law, the commissioner shall, to the fullest extent practicable, conduct enterprise
40.3procurements that result in the establishment of professional or technical contracts for
40.4use by multiple state agencies. The commissioner is authorized to mandate use of any
40.5contract entered into as a result of an enterprise procurement process. Agencies shall fully
40.6cooperate in the development and use of contracts entered into under this section.
40.7 Sec. 39. Minnesota Statutes 2006, section 16C.08, subdivision 2, is amended to read:
40.8 Subd. 2. Duties of contracting agency. (a) Before an agency may seek approval of
40.9a professional or technical services contract valued in excess of $5,000, it must provide
40.10the following:
40.11 (1) a description of how the proposed contract or amendment is necessary and
40.12reasonable to advance the statutory mission of the agency;
40.13 (2) a description of the agency's plan to notify firms or individuals who may be
40.14available to perform the services called for in the solicitation;
40.15 (3) a description of the performance measures or other tools that will be used to
40.16monitor and evaluate contract performance
40.17 (4) an explanation detailing, if applicable, why this procurement is being pursued
40.18unilaterally by the agency and not as an enterprise procurement.
40.19 (b) In addition to paragraph (a), the agency must certify that:
40.20 (1) no current state employee is able and available to perform the services called
40.21for by the contract;
40.22 (2) the normal competitive bidding mechanisms will not provide for adequate
40.23performance of the services;
40.24 (3) reasonable efforts will be made to publicize the availability of the contract to
40.25the public;
40.26 (4) the agency will develop and implement a written plan providing for the
40.27assignment of specific agency personnel to manage the contract, including a monitoring
40.28and liaison function, the periodic review of interim reports or other indications of past
40.29performance, and the ultimate utilization of the final product of the services;
40.30 (5) the agency will not allow the contractor to begin work before the contract is fully
40.31executed unless an exception under section
40.32the commissioner and funds are fully encumbered;
40.33 (6) the contract will not establish an employment relationship between the state or
40.34the agency and any persons performing under the contract;
41.1 (7) in the event the results of the contract work will be carried out or continued by
41.2state employees upon completion of the contract, the contractor is required to include
41.3state employees in development and training, to the extent necessary to ensure that after
41.4completion of the contract, state employees can perform any ongoing work related to
41.5the same function
41.6 (8) the agency will not contract out its previously eliminated jobs for four years
41.7without first considering the same former employees who are on the seniority unit layoff
41.8list who meet the minimum qualifications determined by the agency.
41.9 (c) A contract establishes an employment relationship for purposes of paragraph (b),
41.10clause (6), if, under federal laws governing the distinction between an employee and an
41.11independent contractor, a person would be considered an employee.
41.12 Sec. 40. Minnesota Statutes 2006, section 16C.08, subdivision 4, is amended to read:
41.13 Subd. 4. Reports. (a) The commissioner shall submit to the governor, the chairs of
41.14the house Ways and Means and senate Finance Committees, and the Legislative Reference
41.15Library a yearly listing of all contracts for professional or technical services executed.
41.16The report must identify the contractor, contract amount, duration, and services to be
41.17provided. The commissioner shall also issue yearly reports summarizing the contract
41.18review activities of the department by fiscal year.
41.19 (b) The fiscal year report must be submitted by September 1 of each year and must:
41.20 (1) be sorted by agency and by contractor;
41.21 (2) show the aggregate value of contracts issued by each agency and issued to each
41.22contractor;
41.23 (3) distinguish between contracts that are being issued for the first time and contracts
41.24that are being extended;
41.25 (4) state the termination date of each contract;
41.26 (5) identify services by commodity code, including topics such as contracts for
41.27training, contracts for research and opinions, and contracts for computer systems; and
41.28 (6) identify which contracts were awarded without following the solicitation process
41.29in this chapter because it was determined that there was only a single source for the
41.30services.
41.31 (c) Within 30 days of final completion of a contract over $50,000 covered by this
41.32subdivision, the head of the agency entering into the contract must submit a one-page
41.33report to the commissioner who must submit a copy to the Legislative Reference Library.
41.34The report must:
42.1 (1) summarize the purpose of the contract, including why it was necessary to enter
42.2into a contract;
42.3 (2) state the amount spent on the contract;
42.4
42.5
42.6
42.7chapter because it was determined that there was only a single source for the services,
42.8explain why the agency determined there was only a single source for the services
42.9 (4) include a written performance evaluation of the work done under the contract.
42.10The evaluation must include an appraisal of the contractor's timeliness, quality, cost, and
42.11overall performance in meeting the terms and objectives of the contract. Contractors may
42.12request copies of evaluations prepared under this subdivision and may respond in writing.
42.13Contractor responses must be maintained with the contract file.
42.14 Sec. 41. Minnesota Statutes 2006, section 16C.08, is amended by adding a subdivision
42.15to read:
42.16 Subd. 4b. Limitations on actions. No action may be maintained by a contractor
42.17against an employee or agency who discloses information about a current or former
42.18contractor under subdivision 4, unless the contractor demonstrates by clear and convincing
42.19evidence that:
42.20 (1) the information was false and defamatory;
42.21 (2) the employee or agency knew or should have known the information was false
42.22and acted with malicious intent to injure the current or former contractor; and
42.23 (3) the information was acted upon in a manner that caused harm to the current or
42.24former contractor.
42.25 Sec. 42. [16C.086] CALL-CENTER.
42.26 An agency may not enter into a contract for operation of a call-center, or a contract
42.27whose primary purpose is to provide similar services answering or responding to telephone
42.28calls on behalf of an agency without determining if the service can be provided by state
42.29employees, and the services must be provided at offices located in the United States. For
42.30purposes of this section, "agency" includes the Minnesota State Colleges and Universities.
42.31EFFECTIVE DATE.This section is effective the day following final enactment,
42.32and applies to a contract entered into or renewed or otherwise extended after that date.
42.33 Sec. 43. Minnesota Statutes 2006, section 16C.10, subdivision 7, is amended to read:
43.1 Subd. 7. Reverse auction. (a) For the purpose of this subdivision, "reverse auction"
43.2means a purchasing process in which vendors compete to provide goods or
43.3services at the lowest selling price in an open and interactive environment. Reverse
43.4auctions may not be utilized to procure engineering design services or architectural
43.5services or to establish building and construction contracts under sections 16C.26 to
43.616C.29.
43.7 (b) The provisions of sections
43.8do not apply when the commissioner determines that a reverse auction is the appropriate
43.9purchasing process.
43.10 Sec. 44. [16C.147] DOCUMENT IMAGING; USE OF PERSONS WITH
43.11DEVELOPMENTAL DISABILITIES.
43.12 The commissioner shall promote the use of persons with developmental disabilities
43.13to provide document imaging services for state and local government agencies.
43.14 Sec. 45. Minnesota Statutes 2006, section 16C.16, subdivision 5, is amended to read:
43.15 Subd. 5. Designation of targeted groups. (a) The commissioner of administration
43.16shall periodically designate businesses that are majority owned and operated by women,
43.17persons with a substantial physical disability, or specific minorities as targeted group
43.18businesses within purchasing categories as determined by the commissioner. A group
43.19may be targeted within a purchasing category if the commissioner determines there is a
43.20statistical disparity between the percentage of purchasing from businesses owned by
43.21group members and the representation of businesses owned by group members among all
43.22businesses in the state in the purchasing category.
43.23 (b) In addition to designations under paragraph (a), an individual business may be
43.24included as a targeted group business if the commissioner determines that inclusion is
43.25necessary to remedy discrimination against the owner based on race, gender, or disability
43.26in attempting to operate a business that would provide goods or services to public agencies.
43.27 (c) In addition to the designations under paragraphs (a) and (b), the commissioner of
43.28administration shall designate businesses that are majority owned and operated by veterans
43.29who have served in federal active service as defined in section 190.05, subdivision 5c, in
43.30support of Operation Enduring Freedom or Operation Iraqi Freedom as targeted group
43.31businesses within purchasing categories as determined by the commissioner. "Veteran"
43.32has the meaning given in section 197.447, and also includes both currently serving and
43.33honorably discharged members of the national guard and other military reserves.
44.1
44.2(a)
44.3rulemaking procedures of that chapter.
44.4EFFECTIVE DATE.This section is effective July 1, 2007, and applies to
44.5procurement contract bid solicitations issued on and after that date.
44.6 Sec. 46. [16C.251] BEST AND FINAL OFFER.
44.7 A "best and final offer" solicitation process may not be used for building and
44.8construction contracts.
44.9 Sec. 47. Minnesota Statutes 2006, section 43A.08, subdivision 2a, is amended to read:
44.10 Subd. 2a. Temporary unclassified positions. The commissioner, upon request of
44.11an appointing authority, may authorize the temporary designation of a position in the
44.12unclassified service. The commissioner may make this authorization only for professional,
44.13managerial or supervisory positions which are fully anticipated to be of limited duration.
44.14An individual may not be employed by an appointing authority under this subdivision
44.15for more than 18 months.
44.16EFFECTIVE DATE.For individuals who are employed under section 43A.08,
44.17subdivision 2a, on the effective date of this section, the 18-month time limit under this
44.18section commences the day following final enactment.
44.19 Sec. 48. Minnesota Statutes 2006, section 43A.346, subdivision 1, is amended to read:
44.20 Subdivision 1. Definition. For purposes of this section, "state employee" means a
44.21person currently occupying a civil service position in the executive or legislative branch of
44.22state government, the Minnesota State Retirement System, or the Office of the Legislative
44.23Auditor, or a person employed by the Metropolitan Council.
44.24 Sec. 49. Minnesota Statutes 2006, section 161.1419, subdivision 8, is amended to read:
44.25 Subd. 8. Expiration. The commission expires on June 30,
44.26EFFECTIVE DATE.This section is effective the day following final enactment.
44.27 Sec. 50. Minnesota Statutes 2006, section 270B.14, is amended by adding a
44.28subdivision to read:
45.1 Subd. 19. Disclosure to Department of Finance. The commissioner may disclose
45.2to the commissioner of finance returns or return information necessary in order to prepare
45.3a revenue forecast under section 16A.103.
45.4 Sec. 51. Minnesota Statutes 2006, section 270C.03, subdivision 1, is amended to read:
45.5 Subdivision 1. Powers and duties. The commissioner shall have and exercise
45.6the following powers and duties:
45.7 (1) administer and enforce the assessment and collection of taxes;
45.8 (2) make determinations, corrections, and assessments with respect to taxes,
45.9including interest, additions to taxes, and assessable penalties;
45.10 (3) use statistical or other sampling techniques consistent with generally accepted
45.11auditing standards in examining returns or records and making assessments;
45.12 (4) investigate the tax laws of other states and countries, and formulate and submit
45.13to the legislature such legislation as the commissioner may deem expedient to prevent
45.14evasions of state revenue laws and to secure just and equal taxation and improvement in
45.15the system of state revenue laws;
45.16 (5) consult and confer with the governor upon the subject of taxation, the
45.17administration of the laws in regard thereto, and the progress of the work of the
45.18department, and furnish the governor, from time to time, such assistance and information
45.19as the governor may require relating to tax matters;
45.20 (6) execute and administer any agreement with the secretary of the treasury or the
45.21Bureau of Alcohol, Tobacco, Firearms, and Explosives in the Department of Justice of the
45.22United States or a representative of another state regarding the exchange of information
45.23and administration of the state revenue laws;
45.24 (7) require town, city, county, and other public officers to report information as to the
45.25collection of taxes received from licenses and other sources, and such other information
45.26as may be needful in the work of the commissioner, in such form as the commissioner
45.27may prescribe;
45.28 (8) authorize the use of unmarked motor vehicles to conduct seizures or criminal
45.29investigations pursuant to the commissioner's authority;
45.30 (9) maintain toll-free telephone access for taxpayer assistance for calls from
45.31locations within the state; and
45.32 (10) exercise other powers and authority and perform other duties required of or
45.33imposed upon the commissioner by law.
45.34EFFECTIVE DATE.This section is effective January 1, 2008.
46.1 Sec. 52. [270C.21] TAXPAYER ASSISTANCE GRANTS.
46.2 When the commissioner awards grants to nonprofit organizations to coordinate,
46.3facilitate, encourage, and aid in the provision of taxpayer assistance services, the
46.4commissioner must provide public notice of the grants in a timely manner so that the
46.5grant process is completed and grants are awarded by October 1, in order for recipient
46.6organizations to adequately plan expenditures for the filing season. At the time the
46.7commissioner provides public notice, the commissioner must also notify nonprofit
46.8organizations that received grants in the previous biennium.
46.9EFFECTIVE DATE.This section is effective the day following final enactment.
46.10 Sec. 53. Minnesota Statutes 2006, section 302A.821, subdivision 4, is amended to read:
46.11 Subd. 4. Penalty; reinstatement. (a) A corporation that has failed to file a
46.12registration pursuant to the requirements of subdivision 2 must be dissolved by the
46.13secretary of state as described in paragraph (b).
46.14 (b) If the corporation has not filed the registration
46.15any calendar
46.16dissolution and the certificate must be filed in the Office of the Secretary of State.
46.17
46.18
46.19
46.20
46.21
46.22
46.23
46.24
46.25an electronic format the names of the dissolved corporations. A corporation dissolved in
46.26this manner is not entitled to the benefits of section
46.27shareholders of a corporation dissolved in this manner shall be determined and limited in
46.28accordance with section
46.29any director of the corporation under section
46.30 (c) After administrative dissolution, filing a registration and the $25 fee with the
46.31secretary of state:
46.32 (1) returns the corporation to good standing as of the date of the dissolution;
46.33 (2) validates contracts or other acts within the authority of the articles, and the
46.34corporation is liable for those contracts or acts; and
47.1 (3) restores to the corporation all assets and rights of the corporation to the extent
47.2they were held by the corporation before the dissolution occurred, except to the extent that
47.3assets or rights were affected by acts occurring after the dissolution or sold or otherwise
47.4distributed after that time.
47.5EFFECTIVE DATE.This section is effective January 1, 2008.
47.6 Sec. 54. Minnesota Statutes 2006, section 308A.995, subdivision 4, is amended to read:
47.7 Subd. 4. Penalty; dissolution. (a) A cooperative that has failed to file a registration
47.8pursuant to the requirements of this section by December 31 of the calendar year for which
47.9the registration was required must be dissolved by the secretary of state as described in
47.10paragraph (b).
47.11 (b) If the cooperative has not filed the registration by December 31 of that calendar
47.12year, the secretary of state must issue a certificate of involuntary dissolution, and the
47.13certificate must be filed in the Office of the Secretary of State.
47.14
47.15
47.16
47.17format the names of the dissolved cooperatives. A cooperative dissolved in this manner is
47.18not entitled to the benefits of section
47.19EFFECTIVE DATE.This section is effective January 1, 2008.
47.20 Sec. 55. Minnesota Statutes 2006, section 308B.121, subdivision 4, is amended to read:
47.21 Subd. 4. Penalty; dissolution. (a) A cooperative that has failed to file a registration
47.22under the requirements of this section must be dissolved by the secretary of state as
47.23described in paragraph (b).
47.24 (b) If the cooperative has not filed the registration by December 31 of that calendar
47.25year, the secretary of state must issue a certificate of involuntary dissolution and the
47.26certificate must be filed in the Office of the Secretary of State.
47.27
47.28
47.29
47.30
47.31not entitled to the benefits of section
47.32EFFECTIVE DATE.This section is effective January 1, 2008.
48.1 Sec. 56. Minnesota Statutes 2006, section 308B.215, subdivision 2, is amended to read:
48.2 Subd. 2. Filing. The original articles and a designation of the cooperative's
48.3registered office and agent
48.4be filed with the secretary of state. The fee for filing the articles with the secretary of
48.5state is $60.
48.6EFFECTIVE DATE.This section is effective August 1, 2007.
48.7 Sec. 57. [308B.903] NOTICE OF INTENT TO DISSOLVE.
48.8 Before a cooperative begins dissolution, a notice of intent to dissolve must be filed
48.9with the secretary of state. The notice must contain:
48.10 (1) the name of the cooperative;
48.11 (2) the date and place of the members' meeting at which the resolution was
48.12approved; and
48.13 (3) a statement that the requisite vote of the members approved the proposed
48.14dissolution.
48.15EFFECTIVE DATE.This section is effective August 1, 2007.
48.16 Sec. 58. Minnesota Statutes 2006, section 317A.823, subdivision 1, is amended to read:
48.17 Subdivision 1. Annual registration. (a) The secretary of state must send annually
48.18to each corporation at the registered office of the corporation a postcard notice announcing
48.19the need to file the annual registration and informing the corporation that the annual
48.20registration may be filed online and that paper filings may also be made, and informing
48.21the corporation that failing to file the annual registration will result in an administrative
48.22dissolution of the corporation.
48.23 (b)
48.24beginning in the calendar year following the calendar year in which a corporation
48.25incorporates, a corporation must file with the secretary of state by December 31 of each
48.26calendar year a registration containing the information listed in paragraph (c).
48.27 (c) The registration must include:
48.28 (1) the name of the corporation;
48.29 (2) the address of its registered office;
48.30 (3) the name of its registered agent, if any; and
48.31 (4) the name and business address of the officer or other person exercising the
48.32principal functions of president of the corporation.
49.1
49.2
49.3
49.4
49.5
49.6
49.7
49.8
49.9
49.10
49.11
49.12
49.13
49.14EFFECTIVE DATE.This section is effective August 1, 2007.
49.15 Sec. 59. Minnesota Statutes 2006, section 321.0206, is amended to read:
49.16321.0206 DELIVERY TO AND FILING OF RECORDS BY SECRETARY OF
49.17STATE; EFFECTIVE TIME AND DATE.
49.18 (a) A record authorized or required to be delivered to the secretary of state for filing
49.19under this chapter must be captioned to describe the record's purpose, be in a medium
49.20permitted by the secretary of state, and be delivered to the secretary of state. Unless the
49.21secretary of state determines that a record does not comply with the filing requirements
49.22of this chapter, and if the appropriate filing fees have been paid, the secretary of state
49.23shall file the record and:
49.24 (1) for a statement of dissociation, send:
49.25 (A) a copy of the filed statement to the person which the statement indicates has
49.26dissociated as a general partner; and
49.27 (B) a copy of the filed statement to the limited partnership;
49.28 (2) for a statement of withdrawal, send:
49.29 (A) a copy of the filed statement to the person on whose behalf the record was
49.30filed; and
49.31 (B) if the statement refers to an existing limited partnership, a copy of the filed
49.32statement to the limited partnership; and
49.33 (3) for all other records, send a copy of the filed record to the person on whose
49.34behalf the record was filed.
50.1 (b) Upon request and payment of a fee, the secretary of state shall send to the
50.2requester a certified copy of the requested record.
50.3 (c) Except as otherwise provided in sections
50.4delivered to the secretary of state for filing under this chapter may specify an effective
50.5time and a delayed effective date. Except as otherwise provided in this chapter, a record
50.6filed by the secretary of state is effective:
50.7 (1) if the record does not specify an effective time and does not specify a delayed
50.8effective date, on the date and at the time the record is filed as evidenced by the secretary
50.9of state's endorsement of the date and time on the record;
50.10 (2) if the record specifies an effective time but not a delayed effective date, on the
50.11date the record is filed at the time specified in the record;
50.12 (3) if the record specifies a delayed effective date but not an effective time, at 12:01
50.13a.m. on the earlier of:
50.14 (A) the specified date; or
50.15 (B) the 30th day after the record is filed; or
50.16 (4) if the record specifies an effective time and a delayed effective date, at the
50.17specified time on the earlier of:
50.18 (A) the specified date; or
50.19 (B) the 30th day after the record is filed.
50.20 (d) The appropriate fees for filings under this chapter are:
50.21 (1) for filing a certificate of limited partnership, $100;
50.22 (2) for filing an amended certificate of limited partnership, $50;
50.23 (3) for filing any other record, other than the annual report required by section
50.24321.0210, for which no fee must be charged, required or permitted to be delivered for
50.25filing, $35;
50.26 (4) for filing a certificate requesting authority to transact business in Minnesota as a
50.27foreign limited partnership, $85;
50.28 (5) for filing an application of reinstatement, $25;
50.29 (6) for filing a name reservation for a foreign limited partnership name, $35; and
50.30 (7) for filing any other record, other than the annual report required by section
50.31321.0210, for which no fee must be charged, required or permitted to be delivered for
50.32filing on a foreign limited partnership authorized to transact business in Minnesota, $50.
50.33EFFECTIVE DATE.This section is effective July 1, 2007.
51.1 Sec. 60. Minnesota Statutes 2006, section 321.0210, is amended to read:
51.2321.0210 ANNUAL REPORT FOR SECRETARY OF STATE.
51.3 (a) Subject to subsection (b):
51.4 (1) in each calendar year following the calendar year in which a limited partnership
51.5becomes subject to this chapter, the limited partnership must deliver to the secretary of
51.6state for filing an annual registration containing the information required by subsection
51.7(c); and
51.8 (2) in each calendar year following the calendar year in which there is first on file
51.9with the secretary of state a certificate of authority under section
51.10foreign limited partnership, the foreign limited partnership must deliver to the secretary of
51.11state for filing an annual registration containing the information required by subsection (c).
51.12 (b) A limited partnership's obligation under subsection (a) ends if the limited
51.13partnership delivers to the secretary of state for filing a statement of termination under
51.14section
51.15limited partnership's obligation under subsection (a) ends if the secretary of state issues
51.16and files a certificate of revocation under section
51.17partnership delivers to the secretary of state for filing a notice of cancellation under
51.18section 321.0907(a) and that notice takes effect under section
51.19limited partnership's obligations under subsection (a) end and later the secretary of state
51.20files, pursuant to section
51.21limited partnership, subsection (a)(2), again applies to the foreign limited partnership and,
51.22for the purposes of subsection (a)(2), the calendar year of the new filing is treated as the
51.23calendar year in which a certificate of authority is first on file with the secretary of state.
51.24 (c) The annual registration must contain:
51.25 (1) the name of the limited partnership or foreign limited partnership;
51.26 (2) the address of its designated office and the name and street and mailing address
51.27of its agent for service of process in Minnesota and, if the agent is not an individual, the
51.28name, street and mailing address, and telephone number of an individual who may be
51.29contacted for purposes other than service of process with respect to the limited partnership;
51.30 (3) in the case of a limited partnership, the street and mailing address of its principal
51.31office; and
51.32 (4) in the case of a foreign limited partnership, the name of the state or other
51.33jurisdiction under whose law the foreign limited partnership is formed and any alternate
51.34name adopted under section 321.0905(a).
51.35 (d) The secretary of state shall:
52.1 (1) administratively dissolve under section
52.2failed to file a registration pursuant to subsection (a); and
52.3 (2) revoke under section
52.4partnership that has failed to file a registration pursuant to subsection (a).
52.5 Sec. 61. [321.0909] NAME CHANGES FILED IN HOME STATE.
52.6 A foreign limited partnership shall notify the secretary of state of any changes to the
52.7partnership name filed with the state of formation by filing a certificate from the state of
52.8formation certifying to the change of name.
52.9EFFECTIVE DATE.This section is effective August 1, 2007.
52.10 Sec. 62. Minnesota Statutes 2006, section 323A.1003, is amended to read:
52.11323A.1003 ANNUAL REGISTRATION.
52.12 (a) Each calendar year beginning in the calendar year following the calendar year
52.13in which a partnership files a statement of qualification or in which a foreign partnership
52.14becomes authorized to transact business in this state, the secretary of state must mail by
52.15first class mail an annual registration form to the street address of the partnership's chief
52.16executive office, if located in Minnesota, the office in this state, if the chief executive
52.17office is not located in Minnesota, or address of the registered agent of the partnership
52.18as shown on the records of the secretary of state when the chief executive office is not
52.19located in Minnesota and no other Minnesota office exists. The form must include the
52.20following notice:
52.21 "NOTICE: Failure to file this form by December 31 of this year will result in
52.22the revocation of the statement of qualification of this limited liability partnership
52.23without further notice from the secretary of state pursuant to Minnesota Statutes, section
52.25 (b) A limited liability partnership, and a foreign limited liability partnership
52.26authorized to transact business in this state, shall file an annual registration in the office
52.27of the secretary of state which contains:
52.28 (1) the name of the limited liability partnership and the state or other jurisdiction
52.29under whose laws the foreign limited liability partnership is formed;
52.30 (2) the street address, including the zip code, of the partnership's chief executive
52.31office and, if different, the street address, including the zip code, of an office of the
52.32partnership in this state, if any;
53.1 (3) if the partnership does not have an office in this state, the name and street address,
53.2including the zip code, of the partnership's current agent for service of process; and
53.3 (4) if the agent for service of process under clause (3) is not an individual, the name,
53.4street address, and telephone number of an individual who may be contacted for purposes
53.5other than service of process with respect to the limited liability partnership.
53.6 (c) An annual registration must be filed once each calendar year beginning in the
53.7year following the calendar year in which a partnership files a statement of qualification or
53.8a foreign partnership becomes authorized to transact business in this state.
53.9 (d) The secretary of state must revoke the statement of qualification of a partnership
53.10that fails to file an annual registration when due or pay the required filing fee. The
53.11secretary of state must issue a certificate of revocation which must be filed in the office
53.12of the secretary of state. The secretary of state must also make available in an electronic
53.13format the names of the revoked limited liability companies.
53.14 (e) A revocation under subsection (d) only affects a partnership's status as a limited
53.15liability partnership and is not an event of dissolution of the partnership.
53.16 (f) A partnership whose statement of qualification has been revoked may apply to
53.17the secretary of state for reinstatement within one year after the effective date of the
53.18revocation. A partnership must file an annual registration to apply for reinstatement and
53.19pay a reinstatement fee of $135.
53.20 (g) A reinstatement under subsection (f) relates back to and takes effect as of
53.21the effective date of the revocation, and the partnership's status as a limited liability
53.22partnership continues as if the revocation had never occurred.
53.23 Sec. 63. Minnesota Statutes 2006, section 336.1-110, is amended to read:
53.24336.1-110 UNIFORM COMMERCIAL CODE ACCOUNT.
53.25 The Uniform Commercial Code account is established as an account in the state
53.26treasury. Fees that are not expressly set by statute but are charged by the secretary of state
53.27to offset the costs of providing a service under this chapter must be deposited in the state
53.28treasury and credited to the Uniform Commercial Code account.
53.29 Fees that are not expressly set by statute but are charged by the secretary of state
53.30to offset the costs of providing information contained in the computerized records
53.31maintained by the secretary of state must be deposited in the state treasury and credited to
53.32the Uniform Commercial Code account.
53.33 Money in the Uniform Commercial Code account is continuously appropriated to the
53.34secretary of state to implement and maintain the central filing system under this chapter,
53.35to provide, improve, and expand other online or remote lien and business entity filing,
54.1retrieval, and payment method services provided by the secretary of state, and to provide
54.2electronic access to other computerized records maintained by the secretary of state.
54.3 Sec. 64. Minnesota Statutes 2006, section 336.9-516, is amended to read:
54.4336.9-516 WHAT CONSTITUTES FILING; EFFECTIVENESS OF FILING.
54.5 (a) What constitutes filing. Except as otherwise provided in subsection (b),
54.6communication of a record to a filing office and tender of the filing fee or acceptance of
54.7the record by the filing office constitutes filing.
54.8 (b) Refusal to accept record; filing does not occur. Filing does not occur with
54.9respect to a record that a filing office refuses to accept because:
54.10 (1) the record is not communicated by a method or medium of communication
54.11authorized by the filing office. For purposes of filing office authorization, transmission of
54.12records using the Extensible Markup Language (XML) format is authorized by the filing
54.13office after the later of July 1, 2007, or the determination of the secretary of state that the
54.14central filing system is capable of receiving and processing these records;
54.15 (2) an amount equal to or greater than the applicable filing fee is not tendered;
54.16 (3) the filing office is unable to index the record because:
54.17 (A) in the case of an initial financing statement, the record does not provide a name
54.18for the debtor;
54.19 (B) in the case of an amendment or correction statement, the record:
54.20 (i) does not identify the initial financing statement as required by section
54.21or
54.22 (ii) identifies an initial financing statement whose effectiveness has lapsed under
54.23section
54.24 (C) in the case of an initial financing statement that provides the name of a debtor
54.25identified as an individual or an amendment that provides a name of a debtor identified as
54.26an individual which was not previously provided in the financing statement to which the
54.27record relates, the record does not identify the debtor's last name; or
54.28 (D) in the case of a record filed or recorded in the filing office described in section
54.30to which it relates;
54.31 (4) in the case of an initial financing statement or an amendment that adds a secured
54.32party of record, the record does not provide a name and mailing address for the secured
54.33party of record;
55.1 (5) in the case of an initial financing statement or an amendment that provides a
55.2name of a debtor which was not previously provided in the financing statement to which
55.3the amendment relates, the record does not:
55.4 (A) provide a mailing address for the debtor;
55.5 (B) indicate whether the debtor is an individual or an organization; or
55.6 (C) if the financing statement indicates that the debtor is an organization, provide:
55.7 (i) a type of organization for the debtor;
55.8 (ii) a jurisdiction of organization for the debtor; or
55.9 (iii) an organizational identification number for the debtor or indicate that the debtor
55.10has none;
55.11 (6) in the case of an assignment reflected in an initial financing statement under
55.12section
55.13not provide a name and mailing address for the assignee; or
55.14 (7) in the case of a continuation statement, the record is not filed within the
55.15six-month period prescribed by section
55.16 (c) Rules applicable to subsection (b). For purposes of subsection (b):
55.17 (1) a record does not provide information if the filing office is unable to read or
55.18decipher the information; and
55.19 (2) a record that does not indicate that it is an amendment or identify an initial
55.20financing statement to which it relates, as required by section
55.22 (d) Refusal to accept record; record effective as filed record. A record that is
55.23communicated to the filing office with tender of the filing fee, but which the filing office
55.24refuses to accept for a reason other than one set forth in subsection (b), is effective as a
55.25filed record except as against a purchaser of the collateral which gives value in reasonable
55.26reliance upon the absence of the record from the files.
55.27EFFECTIVE DATE.This section is effective August 1, 2007.
55.28 Sec. 65. Minnesota Statutes 2006, section 336.9-525, is amended to read:
55.29336.9-525 FEES.
55.30 (a) Initial financing statement or other record: general rule. Except as otherwise
55.31provided in subsection (d), the fee for filing and indexing a record under this part
55.32
55.33fee collected for each filing made online must be deposited in the uniform commercial
55.34code account.
56.1 (b) Number of names. The number of names required to be indexed does not
56.2affect the amount of the fee in subsection (a).
56.3 (c) Response to information request. The fee for responding to a request for
56.4information from the filing office, including for issuing a certificate showing whether there
56.5is on file any financing statement naming a particular debtor,
56.6
56.7request delivered online must be deposited in the uniform commercial code account.
56.8 (d) Record of mortgage. This section does not require a fee with respect to a record
56.9of a mortgage which is effective as a financing statement filed as a fixture filing or as a
56.10financing statement covering as-extracted collateral or timber to be cut under section
56.12applicable to the record of the mortgage apply.
56.13 Sec. 66. Minnesota Statutes 2006, section 358.41, is amended to read:
56.14358.41 DEFINITIONS.
56.15 As used in sections
56.16 (1) "Notarial act" means any act that a notary public of this state is authorized to
56.17perform, and includes taking an acknowledgment, administering an oath or affirmation,
56.18taking a verification upon oath or affirmation, witnessing or attesting a signature, certifying
56.19or attesting a copy, and noting a protest of a negotiable instrument. A notary public may
56.20perform a notarial act by electronic means.
56.21 (2) "Acknowledgment" means a declaration by a person that the person has executed
56.22an instrument or electronic record for the purposes stated therein and, if the instrument
56.23or electronic record is executed in a representative capacity, that the person signed
56.24the instrument with proper authority and executed it as the act of the person or entity
56.25represented and identified therein.
56.26 (3) "Verification upon oath or affirmation" means a declaration that a statement is
56.27true made by a person upon oath or affirmation.
56.28 (4) "In a representative capacity" means:
56.29 (i) for and on behalf of a corporation, partnership, limited liability company, trust, or
56.30other entity, as an authorized officer, agent, partner, trustee, or other representative;
56.31 (ii) as a public officer, personal representative, guardian, or other representative,
56.32in the capacity recited in the instrument;
56.33 (iii) as an attorney in fact for a principal; or
56.34 (iv) in any other capacity as an authorized representative of another.
57.1 (5) "Notarial officer" means a notary public or other officer authorized to perform
57.2notarial acts.
57.3 (6) "Electronic signature" means an electronic sound, symbol, or process attached
57.4to or logically associated with a record and executed or adopted by a person with the
57.5intent to sign the record.
57.6 (7) "Electronic record" means a record created, generated, sent, communicated,
57.7received, or stored by electronic means.
57.8EFFECTIVE DATE.This section is effective August 1, 2007.
57.9 Sec. 67. Minnesota Statutes 2006, section 358.42, is amended to read:
57.10358.42 NOTARIAL ACTS.
57.11 (a) In taking an acknowledgment, the notarial officer must determine, either from
57.12personal knowledge or from satisfactory evidence, that the person appearing before the
57.13officer and making the acknowledgment is the person whose true signature is on the
57.14instrument or electronic record.
57.15 (b) In taking a verification upon oath or affirmation, the notarial officer must
57.16determine, either from personal knowledge or from satisfactory evidence, that the person
57.17appearing before the officer and making the verification is the person whose true signature
57.18is made in the presence of the officer on the statement verified.
57.19 (c) In witnessing or attesting a signature the notarial officer must determine, either
57.20from personal knowledge or from satisfactory evidence, that the signature is that of the
57.21person appearing before the officer and named therein. When witnessing or attesting a
57.22signature, the officer must be present when the signature is made.
57.23 (d) In certifying or attesting a copy of a document, electronic record, or other item,
57.24the notarial officer must determine that the proffered copy is a full, true, and accurate
57.25transcription or reproduction of that which was copied.
57.26 (e) In making or noting a protest of a negotiable instrument or electronic record the
57.27notarial officer must determine the matters set forth in section
57.28 (f) A notarial officer has satisfactory evidence that a person is the person whose true
57.29signature is on a document or electronic record if that person (i) is personally known to
57.30the notarial officer, (ii) is identified upon the oath or affirmation of a credible witness
57.31personally known to the notarial officer, or (iii) is identified on the basis of identification
57.32documents.
57.33EFFECTIVE DATE.This section is effective August 1, 2007.
58.1 Sec. 68. Minnesota Statutes 2006, section 358.50, is amended to read:
58.2358.50 EFFECT OF ACKNOWLEDGMENT.
58.3 An acknowledgment made in a representative capacity for and on behalf of a
58.4corporation, partnership, limited liability company, trust, or other entity and certified
58.5substantially in the form prescribed in this chapter is prima facie evidence that the
58.6instrument or electronic record was executed and delivered with proper authority.
58.7EFFECTIVE DATE.This section is effective August 1, 2007.
58.8 Sec. 69. Minnesota Statutes 2006, section 359.085, subdivision 2, is amended to read:
58.9 Subd. 2. Verifications. In taking a verification upon oath or affirmation, the notarial
58.10officer must determine, either from personal knowledge or from satisfactory evidence, that
58.11the person appearing before the officer and making the verification is the person whose
58.12true signature is made in the presence of the officer on the statement verified.
58.13EFFECTIVE DATE.This section is effective August 1, 2007.
58.14 Sec. 70. Minnesota Statutes 2006, section 359.085, subdivision 3, is amended to read:
58.15 Subd. 3. Witnessing or attesting signatures. In witnessing or attesting a signature,
58.16the notarial officer must determine, either from personal knowledge or from satisfactory
58.17evidence, that the signature is that of the person appearing before the officer and named in
58.18the document or electronic record. When witnessing or attesting a signature, the officer
58.19must be present when the signature is made.
58.20EFFECTIVE DATE.This section is effective August 1, 2007.
58.21 Sec. 71. Minnesota Statutes 2006, section 477A.014, subdivision 4, is amended to read:
58.22 Subd. 4. Costs. The director of the Office of Strategic and Long-Range Planning
58.23shall annually bill the commissioner of revenue for one-half of the costs incurred by the
58.24state demographer in the preparation of materials required by section
58.25auditor shall bill the commissioner of revenue for the costs of best practices reviews
58.26and the services provided by the Government Information Division and the parts of the
58.27constitutional office that are related to the government information function, and for
58.28the services provided by the Tax Increment Financing Investment and Finance Division
58.29required by section 469.3201, not to exceed
58.30commissioner of administration shall bill the commissioner of revenue for the costs of
58.31the local government records program and the intergovernmental information systems
59.1activity, not to exceed $205,800 each fiscal year. The commissioner of employee relations
59.2shall bill the commissioner of revenue for the costs of administering the local government
59.3pay equity function, not to exceed $55,000 each fiscal year.
59.4 Sec. 72. Minnesota Statutes 2006, section 491A.02, subdivision 4, is amended to read:
59.5 Subd. 4. Representation. (a) A corporation, partnership, limited liability company,
59.6sole proprietorship, or association may be represented in conciliation court by an officer,
59.7manager, or partner or an agent in the case of a condominium, cooperative, or townhouse
59.8association, or may appoint a natural person who is an employee or commercial property
59.9manager to appear on its behalf or settle a claim in conciliation court. The state or a
59.10political subdivision of the state may be represented in conciliation court by an employee
59.11of the pertinent governmental unit without a written authorization. The state also may be
59.12represented in conciliation court by an employee of the Division of Risk Management of
59.13the Department of Administration without a written authorization. Representation under
59.14this subdivision does not constitute the practice of law for purposes of section
59.15subdivision 8
59.16agent of a condominium, cooperative, or townhouse association, an authorized power
59.17of attorney, corporate authorization resolution, corporate bylaw, or other evidence of
59.18authority acceptable to the court must be filed with the claim or presented at the hearing.
59.19This subdivision also applies to appearances in district court by a corporation or limited
59.20liability company with five or fewer shareholders or members and to any condominium,
59.21cooperative, or townhouse association, if the action was removed from conciliation court.
59.22 (b) "Commercial property manager" means a corporation, partnership, or limited
59.23liability company or its employees who are hired by the owner of commercial real
59.24estate to perform a broad range of administrative duties at the property including tenant
59.25relations matters, leasing, repairs, maintenance, the negotiation and resolution of tenant
59.26disputes, and related matters. In order to appear in conciliation court, a property manager's
59.27employees must possess a real estate license under section
59.28owner of the property to settle all disputes with tenants and others within the jurisdictional
59.29limits of conciliation court.
59.30 (c) A commercial property manager who is appointed to settle a claim in conciliation
59.31court may not charge or collect a separate fee for services rendered under paragraph (a).
59.32 Sec. 73. Minnesota Statutes 2006, section 507.24, subdivision 2, is amended to read:
59.33 Subd. 2. Original signatures required. (a) Unless otherwise provided by law, an
59.34instrument affecting real estate that is to be recorded as provided in this section or other
60.1applicable law must contain the original signatures of the parties who execute it and of the
60.2notary public or other officer taking an acknowledgment. However, a financing statement
60.3that is recorded as a filing pursuant to section
60.4signatures of the debtor or the secured party; or (2) an acknowledgment.
60.5 (b)(1) Any electronic instruments, including signatures and seals, affecting real
60.6estate may only be recorded as part of a pilot project for the electronic filing of real
60.7estate documents implemented by the task force created in Laws 2000, chapter 391, or
60.8by the Electronic Real Estate Recording Task Force created under section
60.9Electronic Real Estate Recording Task Force created under section 507.094 may amend
60.10standards set by the task force created in Laws 2000, chapter 391, and may set new or
60.11additional standards and establish pilot projects to the full extent permitted in section
60.12507.094, subdivision 2, paragraph (b). Documents recorded in conformity with those
60.13standards and in those pilot projects are deemed to meet the requirements of this section.
60.14 (2)(i) A county that participated in the pilot project for the electronic filing of real
60.15estate documents under the task force created in Laws 2000, chapter 391, may continue to
60.16record or file documents electronically, if:
60.17
60.18
60.19 (ii) A county that did not participate in the pilot project may record or file a real
60.20estate document electronically, if:
60.21
60.22for the electronic filing of real estate documents under the task force created in Laws
60.232000, chapter 391;
60.24
60.25
60.26
60.27certification of compliance with paragraph (b), clause (2), of this section by the county
60.28board and county recorder of the county to implement electronic filing under this section.
60.29 (c) Notices filed pursuant to section
60.30contain an acknowledgment.
60.31 Sec. 74. Minnesota Statutes 2006, section 517.08, subdivision 1b, is amended to read:
60.32 Subd. 1b. Term of license; fee; premarital education. (a) The local registrar
60.33shall examine upon oath the party applying for a license relative to the legality of the
60.34contemplated marriage. If at the expiration of a five-day period, on being satisfied that
60.35there is no legal impediment to it, including the restriction contained in section
61.1local registrar shall issue the license, containing the full names of the parties before and
61.2after marriage, and county and state of residence, with the county seal attached, and make a
61.3record of the date of issuance. The license shall be valid for a period of six months. In case
61.4of emergency or extraordinary circumstances, a judge of the district court of the county in
61.5which the application is made, may authorize the license to be issued at any time before
61.6the expiration of the five days. Except as provided in paragraph (b), the local registrar shall
61.7collect from the applicant a fee of
61.8and filing all papers required, and preparing and transmitting to the state registrar of vital
61.9statistics the reports of marriage required by this section. If the license should not be used
61.10within the period of six months due to illness or other extenuating circumstances, it may
61.11be surrendered to the local registrar for cancellation, and in that case a new license shall
61.12issue upon request of the parties of the original license without fee. A local registrar who
61.13knowingly issues or signs a marriage license in any manner other than as provided in this
61.14section shall pay to the parties aggrieved an amount not to exceed $1,000.
61.15 (b) The marriage license fee for parties who have completed at least 12 hours of
61.16premarital education is
61.17parties must submit at the time of applying for the marriage license a signed and dated
61.18statement from the person who provided the premarital education confirming that it was
61.19received. The premarital education must be provided by a licensed or ordained minister
61.20or the minister's designee, a person authorized to solemnize marriages under section
61.23communication and conflict management skills.
61.24 (c) The statement from the person who provided the premarital education under
61.25paragraph (b) must be in the following form:
61.26 "I, (name of educator), confirm that (names of both parties) received at least 12
61.27hours of premarital education that included the use of a premarital inventory and the
61.28teaching of communication and conflict management skills. I am a licensed or ordained
61.29minister, a person authorized to solemnize marriages under Minnesota Statutes, section
61.31Statutes, section 148B.33."
61.32 The names of the parties in the educator's statement must be identical to the legal
61.33names of the parties as they appear in the marriage license application. Notwithstanding
61.34section
61.35time it may be destroyed.
62.1 (d) If section
62.2shall grant the marriage license without the requested name change. Alternatively, the local
62.3registrar may delay the granting of the marriage license until the party with the conviction:
62.4 (1) certifies under oath that 30 days have passed since service of the notice for a
62.5name change upon the prosecuting authority and, if applicable, the attorney general and no
62.6objection has been filed under section
62.7 (2) provides a certified copy of the court order granting it. The parties seeking the
62.8marriage license shall have the right to choose to have the license granted without the
62.9name change or to delay its granting pending further action on the name change request.
62.10 Sec. 75. Minnesota Statutes 2006, section 517.08, subdivision 1c, is amended to read:
62.11 Subd. 1c. Disposition of license fee. (a) Of the marriage license fee collected
62.12pursuant to subdivision 1b, paragraph (a),
62.13local registrar must pay $85 to the commissioner of finance to be deposited as follows:
62.14 (1) $50 in the general fund;
62.15 (2) $3 in the special revenue fund to be appropriated to the commissioner of
62.16education for parenting time centers under section
62.17 (3) $2 in the special revenue fund to be appropriated to the commissioner of health
62.18for developing and implementing the MN ENABL program under section
62.19 (4) $25 in the special revenue fund is appropriated to the commissioner of
62.20employment and economic development for the displaced homemaker program under
62.21section
62.22 (5) $5 in the special revenue fund is appropriated to the commissioner of human
62.23services for the Minnesota Healthy Marriage and Responsible Fatherhood Initiative under
62.24section
62.25 (b) Of the
62.26by the county. The local registrar must pay $15 to the commissioner of finance to be
62.27deposited as follows:
62.28 (1) $5 as provided in paragraph (a), clauses (2) and (3); and
62.29 (2) $10 in the special revenue fund is appropriated to the commissioner of
62.30employment and economic development for the displaced homemaker program under
62.31section
62.32 (c) The increase in the marriage license fee under paragraph (a) provided for in Laws
62.332004, chapter 273, and disbursement of the increase in that fee to the special fund for the
62.34Minnesota Healthy Marriage and Responsible Fatherhood Initiative under paragraph (a),
63.1clause (5), is contingent upon the receipt of federal funding under United States Code, title
63.242, section 1315, for purposes of the initiative.
63.3 Sec. 76. Laws 2005, chapter 156, article 2, section 45, is amended to read:
63.4 Sec. 45. SALE OF STATE LAND.
63.5 Subdivision 1. State land sales. The commissioner of administration shall
63.6coordinate with the head of each department or agency having control of state-owned land
63.7to identify and sell at least $6,440,000 of state-owned land. Sales should be completed
63.8according to law and as provided in this section as soon as practicable but no later than
63.9June 30,
63.11for public sale by only providing notice of lands or an offer of sale of lands to state
63.12departments or agencies, the University of Minnesota, cities, counties, towns, school
63.13districts, or other public entities.
63.14 Subd. 2. Anticipated savings. Notwithstanding Minnesota Statutes, section
63.16sale of land under this section that exceeds the actual expenses of selling the land must
63.17be deposited in the general fund, except as otherwise provided by the commissioner of
63.18finance. Notwithstanding Minnesota Statutes, section
63.19of finance may establish the timing of payments for land purchased under this section. If
63.20the total of all money deposited into the general fund from the proceeds of the sale of land
63.21under this section is anticipated to be less than $6,440,000, the governor must allocate the
63.22amount of the difference as reductions to general fund operating expenditures for other
63.23executive agencies for the biennium ending June 30,
63.24 Subd. 3. Sale of state lands revolving loan fund. $290,000 is appropriated from
63.25the general fund in fiscal year 2006 to the commissioner of administration for purposes
63.26of paying the actual expenses of selling state-owned lands to achieve the anticipated
63.27savings required in this section. From the gross proceeds of land sales under this section,
63.28the commissioner of administration must cancel the amount of the appropriation in this
63.29subdivision to the general fund by June 30,
63.30 Sec. 77. Laws 2006, chapter 253, section 22, subdivision 1, is amended to read:
63.31 Subdivision 1. Genetic information; work group. (a) The commissioner must
63.32create a work group to develop principles for public policy on the use of genetic
63.33information. The work group must include representatives of state government, including
63.34the judicial branch, local government, prosecutors, public defenders, the American Civil
64.1Liberties Union - Minnesota, the Citizens Council on Health Care, the University of
64.2Minnesota Center on Bioethics, the Minnesota Medical Association, the Mayo Clinic
64.3and Foundation, the March of Dimes, and representatives of employers, researchers,
64.4epidemiologists, laboratories, and insurance companies.
64.5 (b) The commissioner of administration and the work group must conduct reviews
64.6of the topics in paragraphs (c) to (f), in light of the issues raised in the report on treatment
64.7of genetic information under state law required by Laws 2005, chapter 163, section 87.
64.8The commissioner must report the results, including any recommendations for legislative
64.9changes, to the chairs of the house Civil Law Committee and the senate Judiciary
64.10Committee and the ranking minority members of those committees by January 15,
64.112009.
64.12 (c) The commissioner and the work group must determine whether changes are
64.13needed in Minnesota Statutes, section
64.14from cancer patients and their relatives.
64.15 (d) The commissioner and the work group must make recommendations whether
64.16all relatives affected by a formal three-generation pedigree created by the Department of
64.17Health should be able to access the entire data set, rather than only allowing individuals
64.18access to the data of which they are the subject.
64.19 (e) The commissioner and the work group must identify, and may make
64.20recommendations among, options for resolving questions of secondary uses of genetic
64.21information.
64.22 (f) The commissioner and the work group must make recommendations whether
64.23legislative changes are needed regarding access to DNA test results and the specimens
64.24used to create the test results held by the Bureau of Criminal Apprehension as part of
64.25a criminal investigation.
64.26 Sec. 78. Laws 2006, chapter 282, article 14, section 5, is amended to read:
| 64.27 64.28 |
Sec. 5. OFFICE OF ADMINISTRATIVE HEARINGS |
320,000 |
|||||
64.30costs associated with the relocation of
64.31offices to St. Paul. The commissioner
64.32of administration shall take all steps as
64.33necessary to complete the renovation of
64.34the Stassen Building for these purposes by
64.35January 1, 2008. Minnesota Statutes, section
65.2the estimated cost of construction exceeds
65.3$2,000,000. This is a onetime appropriation.
65.4This appropriation is available until spent.
65.5Beginning in fiscal year 2009 and for all
65.6fiscal years thereafter, the appropriation base
65.7for the workers' compensation fund for the
65.8Office of Administrative Hearings is reduced
65.9by $297,000 to reflect savings in rent costs
65.10due to the relocation of offices to St. Paul.
65.11EFFECTIVE DATE.This section is effective the day following final enactment.
65.12 Sec. 79. FORD BUILDING.
65.13 The Ford Building at 117 University Avenue in St. Paul may not be demolished
65.14during the biennium ending June 30, 2009.
65.15 Sec. 80. ELECTRONIC DOCUMENTS STUDY AND REPORT.
65.16 Subdivision 1. Study. The chief information officer of the state, in consultation with
65.17the state archivist and legislative reference librarian, shall study how electronic documents
65.18and the mechanisms and processes for accessing and reading electronic data can be created,
65.19maintained, exchanged, and preserved by the state in a manner that encourages appropriate
65.20government control, access, choice, and interoperability. The study must consider, but
65.21not be limited to, the policies of other states and nations, management guidelines for state
65.22archives as they pertain to electronic documents, public access to information, expected
65.23storage life of electronic documents, costs of implementation, and potential savings. The
65.24chief information officer shall solicit comments from stakeholders, including, but not
65.25limited to, the legislative auditor, attorney general, librarians, state services for the blind,
65.26representatives of the Minnesota Historical Society, other historians, and the media. The
65.27chief information officer shall also solicit comments from members of the public.
65.28 Subd. 2. Report and recommendations. The chief information officer shall
65.29report the officer's findings and recommendations to the chairs of the senate State and
65.30Local Government Operations and Oversight Committee; the house of representatives
65.31Government Operations, Reform, Technology and Elections Committee; and the senate
65.32and house of representatives State Government Finance Divisions by January 15, 2008.
66.1 Sec. 81. STATE EMPLOYEES ELECTRONIC HEALTH RECORDS PILOT
66.2PROJECT.
66.3 Subdivision 1. Project established. The Minnesota State Colleges and Universities
66.4Board of Trustees (MnSCU), in collaboration with the commissioner of employee relations
66.5shall establish an enterprise-wide pilot project to provide consumer-owned electronic
66.6personal health records to MnSCU employees and all participants in the state employee
66.7group insurance program. If the Department of Employee Relations is abolished, then the
66.8Minnesota State Colleges and Universities Board of Trustees shall work in collaboration
66.9with the commissioner of the department responsible for administration of the state
66.10employee group insurance program.
66.11 Subd. 2. Project goals. The goal of the project is to provide consumer-owned
66.12electronic personal health records that are portable among health care providers, health
66.13plan companies, and employers in order to control costs, improve quality, and enhance
66.14safety, and to demonstrate the feasibility of a statewide health information exchange.
66.15The pilot project shall coordinate to the extent possible with other health information
66.16consumer engagement initiatives in Minnesota designed to support the goal of statewide
66.17health information exchange. The electronic personal health records may provide, but
66.18are not limited to, the following:
66.19 (1) access to electronic medical records;
66.20 (2) prescription and appointment information;
66.21 (3) information regarding health education, public health, and health cost
66.22management; and
66.23 (4) privacy, security, and compliance with HIPAA; Minnesota Statutes, chapter 13;
66.24Minnesota Statutes, section 144.335; and other state law related to data privacy.
66.25 Sec. 82. SUSTAINABLE GROWTH WORKING GROUP.
66.26 Subdivision 1. Creation. The sustainable growth working group consists of the
66.27following members:
66.28 (1) two senators, including one member of the minority caucus, appointed by the
66.29Subcommittee on Committees of the Committee on Rules and Administration;
66.30 (2) two members of the house of representatives, one appointed by the speaker
66.31and one appointed by the minority leader;
66.32 (3) commissioners of the following agencies, or their designees: Department of
66.33Natural Resources, Department of Transportation, Department of Employment and
66.34Economic Development, Minnesota Housing Finance Agency, and the Minnesota
67.1Pollution Control Agency; and the chair of the Metropolitan Council or the chair's
67.2designee;
67.3 (4) up to 12 public members who have an interest in promoting sustainable
67.4communities in Minnesota, including up to six public members appointed by the speaker
67.5of the house of representatives and up to six public members appointed by the majority
67.6leader of the senate. The appointing authorities must use their best efforts to include at
67.7least one representative from each of the following sectors: business, environmental,
67.8energy, affordable housing, transportation, local government, planning, and philanthropic.
67.9 The membership of the working group must include balanced representation from
67.10rural, urban, and suburban areas of the state. The commissioners of administration,
67.11agriculture, and commerce must consult with and advise the working group in the
67.12development of its recommendations.
67.13 Subd. 2. Duties. The working group must identify strategies, recommendations, and
67.14a process for implementing state-level coordination of state and local policies, programs,
67.15and regulations in the areas of housing, transportation, natural resource preservation,
67.16capital development, economic development, sustainability, and preservation of the
67.17environment. The working group must identify sustainable development principles that
67.18will guide decision making in Minnesota. The working group must gather information
67.19and develop strategies relative to the strategic use of state resources, to be consistent with
67.20statewide goals of sustainable development. The working group must report proposed
67.21strategies, recommendations, and a process for implementation to the legislature and the
67.22governor by February 1, 2008. In its report to the legislature and the governor, the working
67.23group must identify its source of funding.
67.24 Subd. 3. Administrative provisions. (a) The commissioner of administration
67.25must convene the initial meeting. Upon request of the working group, the commissioner
67.26must provide meeting space and administrative services for the group. The Office of
67.27Geographic and Demographic Analysis must provide staff support for the working group.
67.28The members of the working group must elect a chair.
67.29 (b) Members of the working group serve without compensation but may be
67.30reimbursed for expenses under Minnesota Statutes, section 15.059.
67.31 (c) The working group expires June 30, 2008.
67.32 (d) The working group may accept gifts and grants, which are accepted on behalf
67.33of the state and constitute donations to the state. Funds received are appropriated to the
67.34commissioner of administration for purposes of the working group.
67.35 Sec. 83. TRAINING SERVICES.
68.1 During the biennium ending June 30, 2009, state executive branch agencies must
68.2consider using services provided by government training services before contracting with
68.3other outside vendors for similar services.
68.4 Sec. 84. DEPARTMENT OF EMPLOYEE RELATIONS ABOLISHED; DUTIES
68.5TRANSFERRED.
68.6 (a) The Department of Employee Relations and the position of the commissioner
68.7of employee relations are abolished as of June 1, 2008. Duties of the Department of
68.8Employee Relations and the commissioner of employee relations are transferred on or
68.9before June 1, 2008, to the commissioner of finance, except as follows:
68.10 (1) duties relating to administration of the state employees workers' compensation
68.11program are transferred on or before June 1, 2008, to the commissioner of administration;
68.12and
68.13 (2) duties relating to health care purchasing improvement under Minnesota Statutes,
68.14section 43A.312, are transferred on or before June 1, 2008, to the commissioner of health.
68.15 (b) The commissioner of employee relations, in consultation with the commissioner
68.16of finance, may specify one or more dates before June 1, 2008, on which any or all of the
68.17transfers provided in paragraph (a) will occur.
68.18 (c) The governor may, in consultation with the commissioner of employee relations,
68.19the commissioner of finance, the commissioner of administration, and the director of the
68.20Office of Enterprise Technology, transfer other duties of the Department of Employee
68.21Relations to other state agencies in order to most effectively and efficiently accomplish the
68.22reorganization required by this act.
68.23 (d) Transfer of duties under this section is subject to Minnesota Statutes, section
68.2415.039.
68.25 (e) In addition to any other protection, no employee in the classified service shall
68.26suffer job loss, have a salary reduced, or have employment benefits reduced as a result of
68.27a reorganization mandated or recommended under authority of this section. No action
68.28taken after June 1, 2009, shall be considered a result of reorganization for the purposes
68.29of this section.
68.30EFFECTIVE DATE.This section is effective the day following final enactment.
68.31 Sec. 85. STATE BUDGET TRENDS STUDY COMMISSION.
68.32 (a) The State Budget Trends Study Commission is established for the purpose
68.33of completing a study of the implications of state demographic trends for future state
68.34budget conditions, including both expected revenue collections and spending for state
69.1government services and local services supported by state revenues. The commission
69.2shall consist of 15 public members, including five members appointed by the governor;
69.3five members appointed by the senate Subcommittee on Committees of the Committee
69.4on Rules and Administration; four members appointed by the speaker of the house of
69.5representatives; and one member appointed by the minority leader of the house of
69.6representatives. The respective appointing authorities must complete their appointments
69.7under this section within 30 days of the effective date of this section. The commissioner of
69.8finance must convene the commission within 30 days of the completion of appointments
69.9under this section. The members shall select their chair at the first meeting. When making
69.10appointments under this section, the appointing authorities must consider the education
69.11and expertise of appointees in fields such as public finance, demography, and public
69.12administration.
69.13 (b) Per diem and expense payments to members, removal of members, and vacancies
69.14are governed by Minnesota Statutes, section 15.059.
69.15 (c) The commissioners of finance and revenue must provide data, analysis, and staff
69.16support required by the commission to complete the study, including, but not limited to,
69.17the effect of expected demographic changes over the next 25 years on state tax bases and
69.18on existing state programs and appropriations. In preparing the study, the commission
69.19shall consult with and use the services of the state demographer to estimate the changing
69.20profile of the Minnesota population by age and other factors relevant to the study. The
69.21commission may also contract with appropriate consultants and experts as needed to
69.22complete the study.
69.23 (d) In completing the study, the commission must consider:
69.24 (1) the effect of expected demographic changes over the next 25 years on the tax
69.25base and revenue collections for state income and sales tax, or other state taxes;
69.26 (2) estimates of tax revenue collections for the years 2012, 2017, 2022, 2027, and
69.272032, taking into account the sensitivity of the results for changes in estimated migration
69.28rates, labor force participation by older individuals, and other shares of capital versus labor;
69.29 (3) the effect of demographic trends on entitlement programs and other large state
69.30appropriations relative to current budget commitments;
69.31 (4) relative trends in spending for state programs including trends identified in the
69.32fast growing expenditures report completed under Minnesota Statutes, section 16A.103,
69.33subdivision 4; and
69.34 (5) the structure of the state budget with regard to budget stability and flexibility.
69.35 (e) The commission may make recommendations for state tax or budget policy
69.36changes, including recommendations for changes in tax base, mix of tax types, state
70.1and local finance relationships, entitlements, or budget structure. The commission shall
70.2present preliminary results to the chairs of the legislative committees with jurisdiction
70.3over finance and taxes by February 1, 2008, and a final written report to the same chairs by
70.4January 15, 2009, in compliance with Minnesota Statutes, sections 3.195 and 3.197.
70.5 (f) This section expires on June 30, 2009.
70.6 Sec. 86. REVISOR'S INSTRUCTION.
70.7 In the next and subsequent editions of Minnesota Statutes and Minnesota Rules, the
70.8revisor of statutes must replace references to the Department of Employee Relations and
70.9commissioner of employee relations with references to the appropriate department and
70.10commissioner specified in section 86. The revisor of statutes, in consultation with affected
70.11commissioners of state agencies, must prepare a bill for introduction in the 2008 legislative
70.12session making other statutory changes needed to implement or conform with section 86.
70.13EFFECTIVE DATE.This section is effective the day following final enactment.
70.14 Sec. 87. REPEALER.
70.15Minnesota Statutes 2006, sections 16A.102, subdivisions 1, 2, and 3; 16B.055,
70.16subdivisions 2 and 3; 16C.055, subdivision 1; 16C.08, subdivision 4a; 69.051, subdivision
70.171c; and 359.085, subdivision 8, are repealed.
70.20 Section 1. Minnesota Statutes 2006, section 16C.02, is amended by adding a
70.21subdivision to read:
70.22 Subd. 4a. Best value; construction. For purposes of construction, building,
70.23alteration, improvement, or repair services, "best value" describes the result determined by
70.24a procurement method that considers price and performance criteria, which may include,
70.25but are not limited to:
70.26 (1) the quality of the vendor's or contractor's performance on previous projects;
70.27 (2) the timeliness of the vendor's or contractor's performance on previous projects;
70.28 (3) the level of customer satisfaction with the vendor's or contractor's performance
70.29on previous projects;
70.30 (4) the vendor's or contractor's record of performing previous projects on budget and
70.31ability to minimize cost overruns;
70.32 (5) the vendor's or contractor's ability to minimize change orders;
71.1 (6) the vendor's or contractor's ability to prepare appropriate project plans;
71.2 (7) the vendor's or contractor's technical capacities;
71.3 (8) the individual qualifications of the contractor's key personnel; or
71.4 (9) the vendor's or contractor's ability to assess and minimize risks.
71.5 "Performance on previous projects" does not include the exercise or assertion of a
71.6person's legal rights. This definition does not apply to sections 16C.32, 16C.33, 16C.34,
71.7and 16C.35.
71.8 Sec. 2. Minnesota Statutes 2006, section 16C.02, is amended by adding a subdivision
71.9to read:
71.10 Subd. 20. Vendor. "Vendor" means a business, including a construction contractor
71.11or a natural person, and includes both if the natural person is engaged in a business.
71.12 Sec. 3. Minnesota Statutes 2006, section 16C.03, subdivision 3, is amended to read:
71.13 Subd. 3. Acquisition authority. The commissioner shall acquire all goods, services,
71.14and utilities needed by agencies. The commissioner shall acquire goods, services, and
71.15utilities by requests for bids, requests for proposals, reverse auctions as provided in
71.16section
71.17requires a particular method of acquisition to be used. The commissioner shall make all
71.18decisions regarding acquisition activities. The determination of the acquisition method
71.19and all decisions involved in the acquisition process, unless otherwise provided for by
71.20law, shall be based on best value which includes an evaluation of price and may include
71.21other considerations including, but not limited to, environmental considerations, quality,
71.22and vendor performance. A best value determination must be based on the evaluation
71.23criteria detailed in the solicitation document. If criteria other than price are used, the
71.24solicitation document must state the relative importance of price and other factors.
71.25
71.26
71.27
71.28be rejected. When using the request for bid process, the bid must be awarded to the
71.29lowest responsive and responsible bidder, taking into consideration conformity with
71.30the specifications, terms of delivery, the purpose for which the contract or purchase is
71.31intended, the status and capability of the vendor, and other considerations imposed in the
71.32request for bids. The commissioner may decide which is the lowest responsible bidder
71.33for all purchases and may use the principles of life-cycle costing, where appropriate, in
72.1determining the lowest overall bid. The duties set forth in this subdivision are subject to
72.2delegation pursuant to this section.
72.3 Sec. 4. Minnesota Statutes 2006, section 16C.03, is amended by adding a subdivision
72.4to read:
72.5 Subd. 3a. Acquisition authority; construction contracts. For all building and
72.6construction contracts, the commissioner shall award contracts pursuant to section
72.716C.28, and "best value" shall be defined and applied as set forth in sections 16C.02,
72.8subdivision 4a, and 16C.28, subdivision 1, paragraph (a), clause (2), and paragraph (c).
72.9The duties set forth in this subdivision are subject to delegation pursuant to this section.
72.10The commissioner shall establish procedures for developing and awarding best value
72.11requests for proposals for construction projects. The criteria to be used to evaluate the
72.12proposals must be included in the solicitation document and must be evaluated in an open
72.13and competitive manner.
72.14 Sec. 5. Minnesota Statutes 2006, section 16C.03, is amended by adding a subdivision
72.15to read:
72.16 Subd. 19. Training. Any personnel administering procurement procedures for a
72.17user of best value procurement or any consultant retained by a local unit of government to
72.18prepare or evaluate solicitation documents must be trained, either by the department or
72.19through other training, in the request for proposals process for best value contracting for
72.20construction projects. The commissioner may establish a training program for state and
72.21local officials, and vendors and contractors, on best value procurement for construction
72.22projects, including those governed by section 16C.28. If the commissioner establishes
72.23such a training program, the state may charge a fee for providing training.
72.24 Sec. 6. Minnesota Statutes 2006, section 16C.26, is amended to read:
72.2516C.26 COMPETITIVE BIDS OR PROPOSALS.
72.26 Subdivision 1. Application. Except as otherwise provided by sections 16C.10,
72.28competitive bids or proposals. "Competitive proposals" specifically refers to the method
72.29of procurement described in section 16C.28, subdivision 1, paragraph (a), clause (2),
72.30and paragraph (c).
72.31 Subd. 2. Requirement contracts. Standard requirement price contracts for building
72.32and construction must be established by competitive bids as provided in subdivision 1.
72.33The standard requirement price contracts may contain escalation clauses and may provide
73.1for a negotiated price increase or decrease based upon a demonstrable industrywide or
73.2regional increase or decrease in the vendor's costs or for the addition of similar products or
73.3replacement items not significant to the total value of existing contracts. The term of these
73.4contracts may not exceed five years including all extensions.
73.5 Subd. 3. Publication of notice; expenditures over $25,000. If the amount of an
73.6expenditure is estimated to exceed $25,000, bids or proposals must be solicited by public
73.7notice in a manner designated by the commissioner. To the extent practical, this must
73.8include posting on a state Web site. For expenditures over $50,000, when a call for bids is
73.9issued, the commissioner shall solicit sealed bids by providing notices to all prospective
73.10bidders known to the commissioner by posting notice on a state Web site at least seven
73.11days before the final date of submitting bids. All bids over $50,000 must be sealed when
73.12they are received and must be opened in public at the hour stated in the notice. All
73.13proposals responsive to a request for proposals according to section 16C.28, subdivision
73.141, paragraph (a), clause (2), and paragraph (c), shall be submitted and evaluated in the
73.15manner described in the request for proposals, regardless of the dollar amount. All original
73.16bids and proposals and all documents pertaining to the award of a contract must be retained
73.17and made a part of a permanent file or record and remain open to public inspection.
73.18 Subd. 4. Building and construction contracts; $50,000 or less. An informal bid
73.19may be used for building, construction, and repair contracts that are estimated at less than
73.20$50,000. Informal bids must be authenticated by the bidder in a manner specified by the
73.21commissioner. Alternatively, a request for proposals may be issued according to section
73.2216C.28, subdivision 1, paragraph (a), clause (2), and paragraph (c), for such contracts.
73.23 Subd. 5. Standard specifications, security. Contracts must be based on the
73.24standard specifications prescribed and enforced by the commissioner under this chapter,
73.25unless otherwise expressly provided or as authorized under section 16C.28, subdivision
73.261, paragraph (a), clause (2), and paragraph (c). Each
73.27contractor must furnish security approved by the commissioner to ensure the making of
73.28the contract being bid for.
73.29 Subd. 6. Noncompetitive bids. Agencies are encouraged to contract with small
73.30targeted group businesses designated under section
73.31that are not subject to competitive bidding procedures.
73.32 Sec. 7. Minnesota Statutes 2006, section 16C.27, subdivision 1, is amended to read:
73.33 Subdivision 1. Single source of supply. Competitive bidding
73.34required for contracts clearly and legitimately limited to a single source of supply, and the
73.35contract price may be best established by direct negotiation.
74.1 Sec. 8. Minnesota Statutes 2006, section 16C.28, is amended to read:
74.216C.28 CONTRACTS; AWARD.
74.3 Subdivision 1.
74.4building and construction contracts entered into by or under the supervision of the
74.5commissioner or an agency for which competitive bids or proposals are required
74.6
74.7
74.8
74.9
74.10
74.11
74.12
74.13
74.14
74.15either of the following:
74.16 (1) the lowest responsible bidder, taking into consideration conformity with the
74.17specifications, terms of delivery, the purpose for which the contract is intended, the status
74.18and capability of the vendor or contractor, other considerations imposed in the call for
74.19bids, and, where appropriate, principles of life-cycle costing; or
74.20 (2) the vendor or contractor offering the best value, taking into account the
74.21specifications of the request for proposals, the price and performance criteria as set forth
74.22in section 16C.02, subdivision 4a, and described in the solicitation document.
74.23 (b) The vendor or contractor must secure bonding, commercial general insurance
74.24coverage, and workers' compensation insurance coverage under paragraph (a), clause
74.25(1) or (2). The commissioner shall determine whether to use the procurement process
74.26described in paragraph (a), clause (1), or the procurement process described in paragraph
74.27(a), clause (2), and paragraph (c). If the commissioner uses the method in paragraph
74.28(a), clause (2), and paragraph (c), the head of the agency shall determine which vendor
74.29or contractor offers the best value, subject to the approval of the commissioner. Any
74.30or all bids or proposals may be rejected.
74.31 (c) When using the procurement process described in subdivision 1, paragraph (a),
74.32clause (2), the solicitation document must state the relative weight of price and other
74.33selection criteria. The award must be made to the vendor or contractor offering the
74.34best value applying the weighted selection criteria. If an interview of the vendor's or
74.35contractor's personnel is one of the selection criteria, the relative weight of the interview
74.36shall be stated in the solicitation document and applied accordingly.
75.1 Subd. 1a. Establishment and purpose. (a) The state recognizes the importance of
75.2the inclusion of a best value contracting system for construction as an alternative to the
75.3current low-bid system of procurement. In order to accomplish that goal, state and local
75.4governmental entities shall be able to choose the best value system in different phases.
75.5 (b) "Best value" means the procurement method defined in section 16C.02,
75.6subdivision 4a.
75.7 (c) The following entities are eligible to participate in phase I:
75.8 (1) state agencies;
75.9 (2) counties;
75.10 (3) cities; and
75.11 (4) school districts with the highest 25 percent enrollment of students in the state.
75.12Phase I begins on the effective date of this section.
75.13 (d) The following entities are eligible to participate in phase II:
75.14 (1) those entities included in phase I; and
75.15 (2) school districts with the highest 50 percent enrollment of students in the state.
75.16Phase II begins two years from the effective date of this section.
75.17 (e) The following entities are eligible to participate in phase III:
75.18 (1) all entities included in phases I and II; and
75.19 (2) all other townships, school districts, and political subdivisions in the state.
75.20Phase III begins three years from the effective date of this section.
75.21 (f) The commissioner or any agency for which competitive bids or proposals are
75.22required may not use best value contracting as defined in section 16C.02, subdivision 4a,
75.23for more than one project annually, or 20 percent of its projects, whichever is greater, in
75.24each of the first three fiscal years in which best value construction contracting is used.
75.25 Subd. 2. Alterations and erasures. A bid containing an alteration or erasure of
75.26any price contained in the bid which is used in determining the lowest responsible bid
75.27must be rejected unless the alteration or erasure is corrected in a manner that is clear and
75.28authenticated by an authorized representative of the responder. An alteration or erasure
75.29may be crossed out and the correction printed in ink or typewritten adjacent to it and
75.30initialed by an authorized representative of the responder.
75.31 Subd. 3. Special circumstances. The commissioner may reject the bid or proposal
75.32of any
75.33the state. In the case of identical low bids from two or more bidders, the commissioner
75.34may use negotiated procurement methods with the tied low bidders for that particular
75.35transaction so long as the price paid does not exceed the low tied bid price. The
76.1commissioner may award contracts to more than one
76.2accordance with subdivision 1, if doing so does not decrease the service level or diminish
76.3the effect of competition.
76.4 Subd. 4. Record. A record must be kept of all bids or proposals, including names of
76.5bidders, amounts of bids or proposals, and each successful bid or proposal. This record is
76.6open to public inspection, subject to section 13.591 and other applicable law.
76.7 Subd. 5. Preferences not cumulative. The preferences under sections
76.9of preference granted on a contract may not exceed the highest percentage of preference
76.10allowed for that contract under any one of those sections.
76.11 Sec. 9. Minnesota Statutes 2006, section 103D.811, subdivision 3, is amended to read:
76.12 Subd. 3. Awarding of contract. (a) At a time and place specified in the bid notice,
76.13the managers may accept or reject any or all bids and may award the contract to the lowest
76.14responsible bidder. The bidder to whom the contract is to be awarded must give a bond,
76.15with ample security, conditioned by satisfactory completion of the contract.
76.16 (b) Bids must not be considered which in the aggregate exceed by more than 30
76.17percent the total estimated cost of construction or implementation.
76.18 (c) As an alternative to the procurement method described in paragraph (a), the
76.19managers may issue a request for proposals and award the contract to the vendor or
76.20contractor offering the best value as described in section 16C.28, subdivision 1, paragraph
76.21(a), clause (2), and paragraph (c).
76.22 (d) The contract must be in writing and be accompanied by or refer to the plans and
76.23specifications for the work to be done as prepared by the engineer for the watershed
76.24district. The plans and specifications shall become a part of the contract.
76.25
76.26secretary, and contractor.
76.27 Sec. 10. Minnesota Statutes 2006, section 103E.505, subdivision 5, is amended to read:
76.28 Subd. 5. How contract may be awarded. The contract may be awarded in one
76.29job, in sections, or separately for labor and material and
76.30responsible bidder. Alternatively, the contract may be awarded to the vendor or contractor
76.31offering the best value under a request for proposals as described in section 16C.28,
76.32subdivision 1, paragraph (a), clause (2), and paragraph (c).
76.33 Sec. 11. Minnesota Statutes 2006, section 116A.13, subdivision 5, is amended to read:
77.1 Subd. 5. How job may be let. The job may be let in one job, or in sections, or
77.2separately for labor and material, and
77.3bidders therefor. Alternatively, the contract may be awarded to the vendor or contractor
77.4offering the best value under a request for proposals as described in section 16C.28,
77.5subdivision 1, paragraph (a), clause (2), and paragraph (c).
77.6 Sec. 12. Minnesota Statutes 2006, section 123B.52, subdivision 1, is amended to read:
77.7 Subdivision 1. Contracts. A contract for work or labor, or for the purchase of
77.8furniture, fixtures, or other property, except books registered under the copyright laws, or
77.9for the construction or repair of school houses, the estimated cost or value of which shall
77.10exceed that specified in section
77.11board without first advertising for bids or proposals by two weeks' published notice in the
77.12official newspaper. This notice must state the time and place of receiving bids and contain
77.13a brief description of the subject matter.
77.14 Additional publication in the official newspaper or elsewhere may be made as the
77.15board shall deem necessary.
77.16 After taking into consideration conformity with the specifications, terms of delivery,
77.17and other conditions imposed in the call for bids, every such contract for which a call for
77.18bids has been issued must be awarded to the lowest responsible bidder, be duly executed
77.19in writing, and be otherwise conditioned as required by law. The person to whom the
77.20contract is awarded shall give a sufficient bond to the board for its faithful performance.
77.21Notwithstanding section
77.22to the purchase of a finished tangible product, a board may require, at its discretion, a
77.23performance bond of a contractor in the amount the board considers necessary. A record
77.24must be kept of all bids, with names of bidders and amount of bids, and with the successful
77.25bid indicated thereon. A bid containing an alteration or erasure of any price contained in
77.26the bid which is used in determining the lowest responsible bid must be rejected unless the
77.27alteration or erasure is corrected as provided in this section. An alteration or erasure may
77.28be crossed out and the correction thereof printed in ink or typewritten adjacent thereto and
77.29initialed in ink by the person signing the bid. In the case of identical low bids from two or
77.30more bidders, the board may, at its discretion, utilize negotiated procurement methods
77.31with the tied low bidders for that particular transaction, so long as the price paid does not
77.32exceed the low tied bid price. In the case where only a single bid is received, the board
77.33may, at its discretion, negotiate a mutually agreeable contract with the bidder so long as
77.34the price paid does not exceed the original bid. If no satisfactory bid is received, the
77.35board may readvertise. Standard requirement price contracts established for supplies or
78.1services to be purchased by the district must be established by competitive bids. Such
78.2standard requirement price contracts may contain escalation clauses and may provide for a
78.3negotiated price increase or decrease based upon a demonstrable industrywide or regional
78.4increase or decrease in the vendor's costs. Either party to the contract may request that the
78.5other party demonstrate such increase or decrease. The term of such contracts must not
78.6exceed two years with an option on the part of the district to renew for an additional two
78.7years. Contracts for the purchase of perishable food items, except milk for school lunches
78.8and vocational training programs, in any amount may be made by direct negotiation
78.9by obtaining two or more written quotations for the purchase or sale, when possible,
78.10without advertising for bids or otherwise complying with the requirements of this section
78.11or section
78.12period of at least one year after receipt.
78.13 Every contract made without compliance with the provisions of this section shall be
78.14void. Except in the case of the destruction of buildings or injury thereto, where the public
78.15interest would suffer by delay, contracts for repairs may be made without advertising
78.16for bids.
78.17 Sec. 13. Minnesota Statutes 2006, section 123B.52, is amended by adding a
78.18subdivision to read:
78.19 Subd. 1b. Best value alternative. As an alternative to the procurement method
78.20described in subdivision 1, a contract for construction, building, alteration, improvement,
78.21or repair work may be awarded to the vendor or contractor offering the best value under a
78.22request for proposals as described in section 16C.28, subdivision 1, paragraph (a), clause
78.23(2), and paragraph (c).
78.24 Sec. 14. Minnesota Statutes 2006, section 160.17, is amended by adding a subdivision
78.25to read:
78.26 Subd. 2a. Best value alternative. As an alternative to the procurement method
78.27referenced in subdivision 2, counties or towns may issue a request for proposal and award
78.28the contract to the vendor or contractor offering the best value as described in section
78.2916C.28, subdivision 1, paragraph (a), clause (2), and paragraph (c).
78.30 Sec. 15. Minnesota Statutes 2006, section 160.262, is amended by adding a subdivision
78.31to read:
78.32 Subd. 5. Best value alternative. As an alternative to the procurement method
78.33described in subdivision 4, the commissioner may allow for the award of design-build
79.1contracts for the projects described in subdivision 4 to the vendor or contractor offering
79.2the best value under a request for proposals as described in section 16C.28, subdivision 1,
79.3paragraph (a), clause (2), and paragraph (c).
79.4 Sec. 16. Minnesota Statutes 2006, section 161.32, is amended by adding a subdivision
79.5to read:
79.6 Subd. 1f. Best value alternative. As an alternative to the procurement method
79.7described in subdivisions 1a to 1e, the commissioner may issue a request for proposals
79.8and award the contract to the vendor or contractor offering the best value as described in
79.9section 16C.28, subdivision 1, paragraph (a), clause (2), and paragraph (c).
79.10 Sec. 17. [161.3206] BEST VALUE CONTRACTING AUTHORITY.
79.11 Notwithstanding sections 16C.25, 161.32, 161.321, or any other law to the contrary,
79.12the commissioner may solicit and award all contracts, other than design-build contracts
79.13governed by section 161.3412, for a project on the basis of a best value selection process
79.14as defined in section 16C.02, subdivision 4a. Section 16C.08 does not apply to this section.
79.15 Sec. 18. Minnesota Statutes 2006, section 161.3412, subdivision 1, is amended to read:
79.16 Subdivision 1. Best value selection for design-build contracts. Notwithstanding
79.17sections
79.18may solicit and award a design-build contract for a project on the basis of a best value
79.19selection process. Section
79.20commissioner is a party.
79.21 Sec. 19. Minnesota Statutes 2006, section 161.38, subdivision 4, is amended to read:
79.22 Subd. 4. Effects on other law of public contract with commissioner. Whenever
79.23the road authority of any city enters into an agreement with the commissioner pursuant
79.24to this section, and a portion of the cost is to be assessed against benefited property,
79.25the letting of a public contract by the commissioner for the work shall be deemed to
79.26comply with statutory or charter provisions requiring the city (1) to advertise for bids
79.27before awarding a contract for a public improvement, (2) to let the contract to the lowest
79.28responsible bidder or to the vendor or contractor offering the best value, and (3) to require
79.29a performance bond to be filed by the contractor before undertaking the work. The
79.30contract so let by the commissioner and the performance bond required of the contractor
79.31by the commissioner shall be considered to be the contract and bond of the city for the
79.32purposes of complying with the requirements of any applicable law or charter provision,
80.1and the bond shall inure to the benefit of the city and operate for their protection to the
80.2same extent as though they were parties thereto.
80.3 Sec. 20. Minnesota Statutes 2006, section 365.37, is amended by adding a subdivision
80.4to read:
80.5 Subd. 2a. Best value alternative. As an alternative to the procurement method
80.6described in subdivision 2, a contract for construction, building, alteration, improvement,
80.7or repair work may be awarded to the vendor or contractor offering the best value under a
80.8request for proposals as described in section 16C.28, subdivision 1, paragraph (a), clause
80.9(2), and paragraph (c).
80.10 Sec. 21. Minnesota Statutes 2006, section 374.13, is amended to read:
80.11374.13 TO ADVERTISE FOR BIDS.
80.12 Subdivision 1. Bidding process. When the plans and specifications are completed
80.13and approved by the city council and the county board, the commission shall, after notice
80.14appropriate to inform possible bidders, obtain bids or proposals for all or any portion of
80.15the work or materials, or both, to be done, performed, or furnished in the construction of
80.16the building. All bids or proposals shall be sealed by the bidders or proposers and filed
80.17with the commission at or before the time specified for the opening of bids or proposals.
80.18At the time and place specified for the opening of bids or proposals, the commission shall
80.19meet, open the bids or proposals, tabulate them, and award the contract or contracts to the
80.20responsible bidder whose bid or proposal is the most favorable to the city or county, or
80.21reject all bids and proposals. If all bids or proposals are rejected, the commission may,
80.22after similar notice, obtain more bids or proposals or may modify or change the plans and
80.23specifications and submit the modified plans and specifications to the city council and the
80.24county board for approval. When the modified or changed plans and specifications are
80.25satisfactory to both the city council and the county board, the plans and specifications
80.26shall be returned to the commission and the commission shall proceed again, after similar
80.27notice, to obtain bids or proposals. Any contract awarded by the commission shall be
80.28subject to approval by the city council and the county board.
80.29 Subd. 2. Best value alternative. As an alternative to the procurement method
80.30described in subdivision 1, the commission may issue a request for proposals and award
80.31the contract to the vendor or contractor offering the best value as described in section
80.3216C.28, subdivision 1, paragraph (a), clause (2), and paragraph (c).
81.1 Sec. 22. Minnesota Statutes 2006, section 375.21, is amended by adding a subdivision
81.2to read:
81.3 Subd. 1b. Best value alternative. As an alternative to the procurement method
81.4described in subdivision 1, a county board may award a contract for construction, building,
81.5alteration, improvement, or repair work to the vendor or contractor offering the best value
81.6under a request for proposals as described in section 16C.28, subdivision 1, paragraph
81.7(a), clause (2), and paragraph (c).
81.8 Sec. 23. Minnesota Statutes 2006, section 383C.094, is amended by adding a
81.9subdivision to read:
81.10 Subd. 1a. Contracts in excess of $500; best value alternative. As an alternative to
81.11the procurement method described in subdivision 1, the contract may be awarded to the
81.12vendor or contractor offering the best value under a request for proposals as described in
81.13section 16C.28, subdivision 1, paragraph (a), clause (2), and paragraph (c).
81.14 Sec. 24. Minnesota Statutes 2006, section 412.311, is amended to read:
81.15412.311 CONTRACTS.
81.16 Subdivision 1. Lowest responsible bidder. Except as provided in sections
81.17to
81.18made by the council. Whenever the amount of a contract for the purchase of merchandise,
81.19materials or equipment or for any kind of construction work undertaken by the city is
81.20estimated to exceed the amount specified by section
81.21shall be let to the lowest responsible bidder, after notice has been published once in the
81.22official newspaper at least ten days in advance of the last day for the submission of bids. If
81.23the amount of the contract exceeds $1,000, it shall be entered into only after compliance
81.24with section
81.25 Subd. 2. Best value alternative. As an alternative to the procurement method
81.26described in subdivision 1, a contract for construction, building, alteration, improvement,
81.27or repair work may be awarded to the vendor or contractor offering the best value under a
81.28request for proposals as described in section 16C.28, subdivision 1, paragraph (a), clause
81.29(2), and paragraph (c).
81.30 Sec. 25. Minnesota Statutes 2006, section 429.041, is amended by adding a subdivision
81.31to read:
81.32 Subd. 2a. Best value alternative. As an alternative to the procurement method
81.33described in subdivision 2, the council may issue a request for proposals and award the
82.1contract to the vendor or contractor offering the best value as described in section 16C.28,
82.2subdivision 1, paragraph (a), clause (2), and paragraph (c).
82.3 Sec. 26. Minnesota Statutes 2006, section 458D.21, is amended by adding a
82.4subdivision to read:
82.5 Subd. 2a. Contracts in excess of $5,000; best value alternative. As an alternative
82.6to the procurement method described in subdivision 2, the board may issue a request for
82.7proposals and award the contract to the vendor or contractor offering the best value as
82.8described in section 16C.28, subdivision 1, paragraph (a), clause (2), and paragraph (c).
82.9 Sec. 27. Minnesota Statutes 2006, section 469.015, is amended by adding a subdivision
82.10to read:
82.11 Subd. 1a. Best value alternative. As an alternative to the procurement method
82.12described in subdivision 1, the authority may issue a request for proposals and award the
82.13contract to the vendor or contractor offering the best value under a request for proposals as
82.14described in section 16C.28, subdivision 1, paragraph (a), clause (2), and paragraph (c).
82.15 Sec. 28. Minnesota Statutes 2006, section 469.068, subdivision 1, is amended to read:
82.16 Subdivision 1. Contracts; bids; bonds. All construction work and every purchase
82.17of equipment, supplies, or materials necessary in carrying out the purposes of sections
82.19contract as provided in this subdivision or in subdivision 1a. Before receiving bids under
82.20sections
82.21weeks in the official newspaper of the port's city, a notice that bids will be received for the
82.22construction work, or purchase of equipment, supplies, or materials. The notice shall state
82.23the nature of the work, and the terms and conditions upon which the contract is to be let
82.24and name a time and place where the bids will be received, opened, and read publicly,
82.25which time shall be not less than seven days after the date of the last publication. After
82.26the bids have been received, opened, read publicly, and recorded, the commissioners
82.27shall award the contract to the lowest responsible bidder, reserving the right to reject
82.28any or all bids. The contract shall be executed in writing and the person to whom the
82.29contract is awarded shall give sufficient bond to the board for its faithful performance. If
82.30no satisfactory bid is received, the port authority may readvertise, or, by an affirmative
82.31vote of two of its commissioners in the case of a three-member commission, or five of
82.32its members in the case of a seven-member commission, may authorize the authority
82.33to perform any part or parts of any construction work by day labor under conditions it
83.1prescribes. The commissioners may establish reasonable qualifications to determine
83.2the fitness and responsibility of bidders, and require bidders to meet the qualifications
83.3before bids are accepted. If the commissioners by a two-thirds or five-sevenths vote
83.4declare that an emergency exists requiring the immediate purchase of any equipment or
83.5material or supplies at a cost in excess of $1,000, but not exceeding $5,000, in amount,
83.6or making of emergency repairs, it shall not be necessary to advertise for bids, but the
83.7material, equipment, or supplies may be purchased in the open market at the lowest price
83.8obtainable, or the emergency repairs may be contracted for or performed without securing
83.9formal competitive bids. An emergency, for purposes of this section, is unforeseen
83.10circumstances or conditions which result in the jeopardizing of human life or property.
83.11 In all contracts involving the employment of labor, the commissioners shall stipulate
83.12conditions they deem reasonable, as to the hours of labor and wages and may stipulate as
83.13to the residence of employees to be employed by the contractors.
83.14 Bonds shall be required from contractors for any works of construction as provided
83.15in and subject to all the provisions of sections
83.16 Sec. 29. Minnesota Statutes 2006, section 469.068, is amended by adding a subdivision
83.17to read:
83.18 Subd. 1a. Contracts; best value alternative. As an alternative to the procurement
83.19method described in subdivision 1, a contract may be awarded to the vendor or contractor
83.20offering the best value under a request for proposals as described in section 16C.28,
83.21subdivision 1, paragraph (a), clause (2), and paragraph (c).
83.22 Sec. 30. Minnesota Statutes 2006, section 469.101, is amended by adding a subdivision
83.23to read:
83.24 Subd. 5a. Construction contracts. For all contracts for construction, alteration,
83.25repair, or maintenance work, the authority may award contracts to the vendor offering the
83.26best value, and "best value" shall be defined and applied as set forth in sections 16C.02,
83.27subdivision 4a, and 16C.28, subdivision 1, paragraph (a), clause (2), and paragraph (c).
83.28Alternatively, the authority may award all contracts for construction, alteration, repair,
83.29or maintenance work to the lowest responsible bidder, reserving the right to reject any
83.30or all bids.
83.31 Sec. 31. Minnesota Statutes 2006, section 471.345, is amended by adding a subdivision
83.32to read:
84.1 Subd. 3a. Contracts over $50,000; best value alternative. As an alternative to the
84.2procurement method described in subdivision 3, municipalities may award a contract for
84.3construction, alteration, repair, or maintenance work to the vendor or contractor offering
84.4the best value under a request for proposals as described in section 16C.28, subdivision 1,
84.5paragraph (a), clause (2), and paragraph (c).
84.6 Sec. 32. Minnesota Statutes 2006, section 471.345, is amended by adding a subdivision
84.7to read:
84.8 Subd. 4a. Contracts from $10,000 to $50,000; best value alternative. As an
84.9alternative to the procurement method described in subdivision 4, municipalities may
84.10award a contract for construction, alteration, repair, or maintenance work to the vendor or
84.11contractor offering the best value under a request for proposals as described in section
84.1216C.28, subdivision 1, paragraph (a), clause (2), and paragraph (c).
84.13 Sec. 33. Minnesota Statutes 2006, section 471.345, subdivision 5, is amended to read:
84.14 Subd. 5. Contracts less than $10,000. If the amount of the contract is estimated
84.15to be $10,000 or less, the contract may be made either upon quotation or in the open
84.16market, in the discretion of the governing body. If the contract is made upon quotation
84.17it shall be based, so far as practicable, on at least two quotations which shall be kept on
84.18file for a period of at least one year after their receipt. Alternatively, municipalities may
84.19award a contract for construction, alteration, repair, or maintenance work to the vendor or
84.20contractor offering the best value under a request for proposals as described in section
84.2116C.28, subdivision 1, paragraph (a), clause (2), and paragraph (c).
84.22 Sec. 34. Minnesota Statutes 2006, section 473.523, is amended by adding a subdivision
84.23to read:
84.24 Subd. 1a. Contracts over $50,000; best value alternative. As an alternative to
84.25the procurement method described in subdivision 1, the council may issue a request for
84.26proposals and award the contract to the vendor or contractor offering the best value
84.27under a request for proposals as described in section 16C.28, subdivision 1, paragraph
84.28(a), clause (2), and paragraph (c).
84.29 Sec. 35. Minnesota Statutes 2006, section 473.756, subdivision 12, is amended to read:
84.30 Subd. 12. Contracts. The authority may enter into a development agreement with
84.31the team, the county, or any other entity relating to the construction, financing, and use of
84.32the ballpark and related facilities and public infrastructure. The authority may contract
85.1for materials, supplies, and equipment in accordance with sections
85.2except that the authority, with the consent of the county, may employ or contract with
85.3persons, firms, or corporations to perform one or more or all of the functions of architect,
85.4engineer, or construction manager with respect to all or any part of the ballpark and
85.5public infrastructure. Alternatively, at the request of the team and with the consent of the
85.6county, the authority shall authorize the team to provide for the design and construction
85.7of the ballpark and related public infrastructure, subject to terms of Laws 2006, chapter
85.8257. The construction manager may enter into contracts with contractors for labor,
85.9materials, supplies, and equipment for the construction of the ballpark and related public
85.10infrastructure through the process of public bidding, except that the construction manager
85.11may, with the consent of the authority or the team:
85.12 (1) narrow the listing of eligible bidders to those which the construction manager
85.13determines to possess sufficient expertise to perform the intended functions;
85.14 (2) award contracts to the contractors that the construction manager determines
85.15provide the best value under a request for proposals as described in section 16C.28,
85.16subdivision 1, paragraph (a), clause (2), and paragraph (c), which are not required to be
85.17the lowest responsible bidder; and
85.18 (3) for work the construction manager determines to be critical to the completion
85.19schedule, award contracts on the basis of competitive proposals or perform work with
85.20its own forces without soliciting competitive bids if the construction manager provides
85.21evidence of competitive pricing.
85.22The authority shall require that the construction manager certify, before the contract is
85.23signed, a fixed and stipulated construction price and completion date to the authority
85.24and post a performance bond in an amount at least equal to 100 percent of the certified
85.25price, to cover any costs which may be incurred in excess of the certified price, including
85.26but not limited to costs incurred by the authority or loss of revenues resulting from
85.27incomplete construction on the completion date. The authority may secure surety bonds
85.28as provided in section
85.29public work undertaken by it. Persons entitled to the protection of the bonds may enforce
85.30them as provided in sections
85.31property of the authority under the provisions of sections
85.32construction and operation of the ballpark must include programs, including Youthbuild,
85.33to provide for participation by small local businesses and businesses owned by people of
85.34color, and the inclusion of women and people of color in the workforces of contractors
85.35and ballpark operators. The construction of the ballpark is a "project" as that term is
86.1defined in section
86.2sections