Minnesota 2025-2026 Regular Session

Minnesota Senate Bill SF3044 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	1.1 A bill for an act
2	2	1.2 relating to state government finance; appropriating money for attorney general
3	3	1.3 duties and activities; establishing a consumer protection restitution account and
4	4	1.4 related requirements; modifying the consumer litigation account; establishing a
5	5	1.5 proceeds of litigation or settlement account; requiring a report; amending Minnesota
6	6	1.6 Statutes 2024, sections 8.31, subdivision 2c; 8.315, subdivision 3, by adding a
7	7	1.7 subdivision; 16A.151, subdivision 1, by adding a subdivision; proposing coding
8	8	1.8 for new law in Minnesota Statutes, chapter 8.
9	9	1.9BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
10	10	1.10 ARTICLE 1
11	11	1.11 ATTORNEY GENERAL APPROPRIATIONS
12	12	1.12Section 1. ATTORNEY GENERAL.
13	13	1.13 The sums shown in the columns marked "Appropriations" are appropriated to the agencies
14	14	1.14and for the purposes specified in this article. The appropriations are from the general fund,
15	15	1.15or another named fund, and are available for the fiscal years indicated for each purpose.
16	16	1.16The figures "2026" and "2027" used in this article mean that the appropriations listed under
17	17	1.17them are available for the fiscal year ending June 30, 2026, or June 30, 2027, respectively.
18	18	1.18"The first year" is fiscal year 2026. "The second year" is fiscal year 2027. "The biennium"
19	19	1.19is fiscal years 2026 and 2027.
20	20	1.20 APPROPRIATIONS
21	21	1.21 Available for the Year
22	22	1.22 Ending June 30
23	23	20271.23 2026
24	24	52,225,000$53,165,000$1.24Sec. 2. ATTORNEY GENERAL
25	25	1Article 1 Sec. 2.
26	26	25-03177 as introduced03/21/25 REVISOR RSI/VJ
27	27	SENATE
28	28	STATE OF MINNESOTA
29	29	S.F. No. 3044NINETY-FOURTH SESSION
30	30	(SENATE AUTHORS: XIONG)
31	31	OFFICIAL STATUSD-PGDATE
32	32	Introduction and first reading03/27/2025
33	33	Referred to State and Local Government 2.1 Appropriations by Fund
34	34	20272.2 2026
35	35	48,809,00049,749,0002.3General
36	36	3,021,0003,021,000
37	37	2.4State Government
38	38	2.5Special Revenue
39	39	145,000145,0002.6Environmental
40	40	250,000250,0002.7Remediation
41	41	2.8 ARTICLE 2
42	42	2.9 CONSUMER PROTECTION POLICY
43	43	2.10 Section 1. Minnesota Statutes 2024, section 8.31, subdivision 2c, is amended to read:
44	44	2.11 Subd. 2c.Undistributed money to general fund.If a court of competent jurisdiction
45	45	2.12finds or the attorney general determines that a sum recovered under this section for the
46	46	2.13benefit of injured persons cannot reasonably be distributed to the victims, because the victims
47	47	2.14cannot readily be located or identified, or because the cost of distributing the money would
48	48	2.15outweigh the benefit to the victims, then the court may order that the money be paid into
49	49	2.16the general fund. All sums recovered must be deposited into the state treasury and credited
50	50	2.17to the general fund or attorney general must deposit the money in the consumer protection
51	51	2.18restitution account under section 8.37. Money from consumer enforcement public
52	52	2.19compensation that a court or the attorney general attempts to distribute to an eligible
53	53	2.20consumer, but that the consumer does not redeem within 120 days of the date the distribution
54	54	2.21attempt is made, may be redeposited in the consumer protection restitution account.
55	55	2.22 Sec. 2. Minnesota Statutes 2024, section 8.315, subdivision 3, is amended to read:
56	56	2.23 Subd. 3.Reporting.(a) The attorney general shall report annually by October 15 to the
57	57	2.24chairs and ranking minority members of the committees in the senate and the house of
58	58	2.25representatives with jurisdiction over state government finance on activities funded through
59	59	2.26money disbursed from the consumer litigation account during the prior fiscal year.
60	60	2.27 (b) The report must include: (1) an accounting of (i) the starting balance and ending
61	61	2.28balance of the consumer litigation account for the relevant reporting period, (ii) the amount
62	62	2.29transferred each year on July from the proceeds of litigation or settlement account under
63	63	2.30section 16A.151, subdivision 1a, and (iii) a summary description of all disbursements from
64	64	2.31the account, along with the purpose of any disbursements; and (2) a recommendation to
65	65	2.32adjust the maximum account balance under subdivision 4, if the attorney general determines
66	66	2.33an adjustment is necessary.
67	67	2Article 2 Sec. 2.
68	68	25-03177 as introduced03/21/25 REVISOR RSI/VJ 3.1 Sec. 3. Minnesota Statutes 2024, section 8.315, is amended by adding a subdivision to
69	69	3.2read:
70	70	3.3 Subd. 4.Account balance.The maximum balance of the consumer litigation account
71	71	3.4is $2,000,000.
72	72	3.5 Sec. 4. [8.37] CONSUMER PROTECTION RESTITUTION ACCOUNT.
73	73	3.6 Subdivision 1.Definitions.(a) For purposes of this section, the following terms have
74	74	3.7the meanings given.
75	75	3.8 (b) "Account" means the consumer protection restitution account established under this
76	76	3.9section.
77	77	3.10 (c) "Account administrator" means a person appointed by the attorney general to
78	78	3.11administer the account under this section.
79	79	3.12 (d) "Consumer enforcement action" means litigation in any forum, or the settlement of
80	80	3.13a matter that could have resulted in litigation, by the attorney general in whole or in part
81	81	3.14under the attorney general's authority under section 8.31 or under other authority granted
82	82	3.15to the attorney general to obtain the remedies under section 8.31.
83	83	3.16 (e) "Consumer enforcement public compensation" means money awarded or recovered
84	84	3.17in a consumer enforcement action to vindicate public interests by providing restitution or
85	85	3.18other compensation to individuals harmed by an unlawful act or practice that is the subject
86	86	3.19of a consumer enforcement action.
87	87	3.20 (f) "Court-appointed administrator" means an administrator appointed by a court under
88	88	3.21section 8.31, subdivision 3c.
89	89	3.22 (g) "Eligible consumer" means a person who: (1) was harmed by an unlawful act or
90	90	3.23practice that is the subject of a consumer enforcement action; and (2) as a result of the
91	91	3.24consumer enforcement action, is eligible to receive consumer enforcement public
92	92	3.25compensation under a final order.
93	93	3.26 (h) "Final order" means a judgment, assurance of discontinuance, consent order,
94	94	3.27settlement, stipulation, or other order or settlement that is no longer appealable and for
95	95	3.28which no appeals are pending. Final order does not include a judgment, assurance of
96	96	3.29discontinuance, consent order, settlement, stipulation, or other order or settlement entered
97	97	3.30into before ......
98	98	3.31 (i) "Identified unpaid consumer enforcement public compensation" means a specific
99	99	3.32amount of consumer enforcement public compensation that: (1) the attorney general,
100	100	3Article 2 Sec. 4.
101	101	25-03177 as introduced03/21/25 REVISOR RSI/VJ 4.1court-appointed administrator, or account administrator has determined a specific eligible
102	102	4.2consumer is entitled to receive following a final order in a consumer enforcement action;
103	103	4.3and (2) has not been distributed to the specific eligible consumer.
104	104	4.4 Subd. 2.Account established; appropriation.(a) A consumer protection restitution
105	105	4.5account is established as a separate account in the special revenue fund of the state treasury.
106	106	4.6The account consists of money deposited in the account pursuant to this section and any
107	107	4.7other money provided by law or donated, allocated, transferred, or otherwise provided to
108	108	4.8the account. Money in the account is appropriated to the attorney general, court-appointed
109	109	4.9administrator, or account administrator, as applicable, for the purposes specified under
110	110	4.10paragraph (c).
111	111	4.11 (b) Fifty percent of all money recovered by the attorney general in any consumer
112	112	4.12enforcement action that is payable to the state and not designated as consumer enforcement
113	113	4.13public compensation or for another specific purpose must be deposited into the account.
114	114	4.14Money may also be deposited into the account as provided under section 8.31, subdivision
115	115	4.152c.
116	116	4.16 (c) The attorney general, court-appointed administrator, or account administrator must
117	117	4.17use money in the account only to distribute consumer enforcement action public
118	118	4.18compensation to eligible consumers under subdivision 4 and to pay for costs incurred to
119	119	4.19administer the account. The costs to administer the account include the cost to retain, for
120	120	4.20any permissible purpose, an account administrator or court-appointed administrator.
121	121	4.21 Subd. 3.Account administrator.(a) The attorney general may appoint an account
122	122	4.22administrator. An account administrator appointed under this subdivision must:
123	123	4.23 (1) determine the identified amounts of unpaid consumer enforcement public
124	124	4.24compensation for eligible consumers;
125	125	4.25 (2) collect money to deposit, in whole or in part, in the account;
126	126	4.26 (3) distribute money to eligible consumers under subdivision 4; or
127	127	4.27 (4) perform other tasks required to administer the account.
128	128	4.28 (b) The attorney general may compensate an account administrator using money from
129	129	4.29the account. The attorney general may appoint more than one account administrator.
130	130	4.30 Subd. 4.Distributions; eligible consumers.The attorney general, court-appointed
131	131	4.31administrator, or fund administrator may distribute money from the account to any eligible
132	132	4.32consumer with identified unpaid consumer enforcement public compensation. If the amount
133	133	4.33of money in the fund is insufficient to pay distributions to all eligible consumers with
134	134	4Article 2 Sec. 4.
135	135	25-03177 as introduced03/21/25 REVISOR RSI/VJ 5.1identified unpaid consumer enforcement public compensation, the attorney general,
136	136	5.2court-appointed administrator, or fund administrator must first distribute money to consumers
137	137	5.3eligible for identified unpaid consumer enforcement public compensation based on a
138	138	5.4consumer enforcement action with the oldest final order date.
139	139	5.5 Subd. 5.Unpaid compensation; impractical payments; unreasonable efforts.(a)
140	140	5.6The attorney general may determine that distributing identified unpaid consumer enforcement
141	141	5.7public compensation to an eligible consumer is impractical if: (1) the eligible consumer's
142	142	5.8identified unpaid consumer enforcement public compensation amount is too small to justify
143	143	5.9the cost to locate the eligible consumer or make the payment; (2) the eligible consumer does
144	144	5.10not redeem a payment within a reasonable amount of time; or (3) other circumstances make
145	145	5.11distributing the unpaid consumer enforcement public compensation to the eligible consumer
146	146	5.12unreasonable.
147	147	5.13 (b) The attorney general may determine that an attempt to calculate identified unpaid
148	148	5.14consumer enforcement public compensation for some or all eligible consumers relating to
149	149	5.15a consumer enforcement action when the judgment, assurance of discontinuance, consent
150	150	5.16order, settlement, stipulation, or other order or settlement does not identify specific amounts
151	151	5.17of consumer enforcement public compensation for specific consumers is unreasonable if:
152	152	5.18(1) the number of likely eligible consumers and the amount of likely unpaid consumer
153	153	5.19enforcement public compensation is too small to justify the cost to calculate the identified
154	154	5.20unpaid consumer enforcement public compensation; (2) the information needed to identify
155	155	5.21the amount of unpaid consumer enforcement public compensation is unavailable or too
156	156	5.22costly to obtain; or (3) other circumstances make an attempt to calculate the identified
157	157	5.23amount of unpaid consumer enforcement public compensation unreasonable.
158	158	5.24 Subd. 6.Concluded distributions.The attorney general may conclude that distributing
159	159	5.25unpaid consumer enforcement public compensation relating to a consumer enforcement
160	160	5.26action is impractical when the attorney general determines:
161	161	5.27 (1) all eligible consumers with identified unpaid consumer enforcement public
162	162	5.28compensation for the consumer enforcement action have received a distribution from the
163	163	5.29account or the distribution is impractical under subdivision 5, paragraph (a); and
164	164	5.30 (2) no additional eligible consumers with unpaid consumer enforcement public
165	165	5.31compensation for that consumer enforcement action exist or the attorney general has
166	166	5.32determined that identifying unpaid compensation is unreasonable under subdivision 5,
167	167	5.33paragraph (b).
168	168	5Article 2 Sec. 4.
169	169	25-03177 as introduced03/21/25 REVISOR RSI/VJ 6.1 Subd. 7.No private right of action.A person does not have a private right of action
170	170	6.2with respect to a payment from the account or the administration of the account.
171	171	6.3 Subd. 8.Collection efforts.A monetary distribution from the account to an eligible
172	172	6.4consumer has no effect on the attorney general's authority to collect, satisfy, or enforce final
173	173	6.5orders against a person that is ordered to pay consumer enforcement public compensation
174	174	6.6to eligible consumers under the final order. To the extent the attorney general collects
175	175	6.7consumer enforcement public compensation pursuant to a final order after money has been
176	176	6.8distributed from the account to eligible consumers that are the subject of that final order,
177	177	6.9the collected consumer enforcement public compensation must be deposited in the account
178	178	6.10in an amount equal to the amount distributed from the account for eligible consumers subject
179	179	6.11to the applicable final order.
180	180	6.12 Subd. 9.Annual report.The attorney general must publish an annual report that identifies
181	181	6.13for the annual period:
182	182	6.14 (1) the consumer enforcement actions that result in monetary payment to the fund and
183	183	6.15the amount of money paid to the fund for each consumer enforcement action;
184	184	6.16 (2) the consumer enforcement actions for which distributions were made to eligible
185	185	6.17consumers and the amount of money distributed for each consumer enforcement action;
186	186	6.18 (3) the consumer enforcement actions for which eligible consumers are awaiting
187	187	6.19distribution from the fund and the amount of money that the eligible consumers are waiting
188	188	6.20for distribution from for each consumer enforcement action;
189	189	6.21 (4) the consumer enforcement actions for which the attorney general has concluded
190	190	6.22distributing money from the account;
191	191	6.23 (5) the consumer enforcement actions in which the attorney general determined under
192	192	6.24subdivision 5 that some or all eligible compensation was impractical to distribute or
193	193	6.25unreasonable to determine; and
194	194	6.26 (6) the cost to administer the account.
195	195	6.27 Sec. 5. Minnesota Statutes 2024, section 16A.151, subdivision 1, is amended to read:
196	196	6.28 Subdivision 1.State funds; general fund.(a) This subdivision applies, notwithstanding
197	197	6.29any law to the contrary, except as provided in subdivision 2.
198	198	6.30 (b) A state official may not commence, pursue, or settle litigation, or settle a matter that
199	199	6.31could have resulted in litigation, in a manner that would result in money being distributed
200	200	6.32to a person or entity other than the state.
201	201	6Article 2 Sec. 5.
202	202	25-03177 as introduced03/21/25 REVISOR RSI/VJ 7.1 (c) Money recovered by a state official in litigation or in settlement of a matter that could
203	203	7.2have resulted in litigation is state money and must be deposited in the general fund proceeds
204	204	7.3of litigation or settlement account under subdivision 1a.
205	205	7.4 (d) On July 1 each year, the commissioner must transfer from the proceeds of litigation
206	206	7.5or settlement account under subdivision 1a to the consumer litigation account established
207	207	7.6under section 8.315, subdivision 1, a sum sufficient to ensure the balance of the consumer
208	208	7.7litigation account is $2,000,000.
209	209	7.8 (e) On July 1 each year, after the commissioner makes the transfer under paragraph (d),
210	210	7.9the commissioner must transfer the balance remaining in the proceeds of litigation or
211	211	7.10settlement account under subdivision 1 to the general fund.
212	212	7.11 (f) The report required under section 8.315, subdivision 3, must include an accounting
213	213	7.12of the money transferred under paragraph (d) to the consumer litigation account under
214	214	7.13section 8.315, subdivision 1.
215	215	7.14 Sec. 6. Minnesota Statutes 2024, section 16A.151, is amended by adding a subdivision to
216	216	7.15read:
217	217	7.16 Subd. 1a.Proceeds of litigation or settlement account established.A proceeds of
218	218	7.17litigation or settlement account is established as a special account in the state treasury. The
219	219	7.18account consists of money that is (1) recovered by a state official in litigation or in a
220	220	7.19settlement, and (2) subsequently deposited in the account as provided under subdivision 1,
221	221	7.20paragraph (c).
222	222	7Article 2 Sec. 6.
223	223	25-03177 as introduced03/21/25 REVISOR RSI/VJ Page.Ln 1.10ATTORNEY GENERAL APPROPRIATIONS.....................................ARTICLE 1
224	224	Page.Ln 2.8CONSUMER PROTECTION POLICY.................................................ARTICLE 2
225	225	1
226	226	APPENDIX
227	227	Article locations for 25-03177