Minnesota 2025-2026 Regular Session

Minnesota Senate Bill SF3475 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; applying responsible contractor requirements to
3	3	1.3 recipients of state loans and grants over $50,000; amending Minnesota Statutes
4	4	1.4 2024, sections 16A.06, by adding a subdivision; 16B.981, subdivision 2.
5	5	1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
6	6	1.6 Section 1. Minnesota Statutes 2024, section 16A.06, is amended by adding a subdivision
7	7	1.7to read:
8	8	1.8 Subd. 13.Minimum requirements.The commissioner must ensure that, at the time of
9	9	1.9application for a loan of $50,000 or more that is funded fully or partially with state dollars,
10	10	1.10the applicant submits a signed statement under oath certifying the applicant meets the
11	11	1.11minimum requirements under section 16C.285, subdivision 3, where applicable. The
12	12	1.12commissioner may delegate the duty under this section to other state agencies via interagency
13	13	1.13agreements.
14	14	1.14 Sec. 2. Minnesota Statutes 2024, section 16B.981, subdivision 2, is amended to read:
15	15	1.15 Subd. 2.Financial information required; determination of ability to perform.For
16	16	1.16grants of $50,000 or more and subject to sections 16B.97 and 16B.98, before an agency
17	17	1.17awards a competitive, legislatively named, single-source, or sole-source grant, the agency
18	18	1.18must complete a preaward risk assessment to assess the risk that a potential grantee cannot
19	19	1.19or would not perform the required duties. In making this assessment, the agency must review
20	20	1.20the following information as applicable:
21	21	1.21 (1) the potential grantee's history of performing duties similar to those required by the
22	22	1.22grant, whether the grant requires the potential grantee to perform services at a significantly
23	23	1Sec. 2.
24	24	25-05078 as introduced03/27/25 REVISOR SGS/ES
25	25	SENATE
26	26	STATE OF MINNESOTA
27	27	S.F. No. 3475NINETY-FOURTH SESSION
28	28	(SENATE AUTHORS: OUMOU VERBETEN)
29	29	OFFICIAL STATUSD-PGDATE
30	30	Introduction and first reading05/01/2025
31	31	Referred to State and Local Government 2.1increased scale, and whether the grant will require significant changes to the operation of
32	32	2.2the potential grantee's organization;
33	33	2.3 (2) for a potential grantee that is a nonprofit organization, the potential grantee's most
34	34	2.4recent Form 990 or Form 990-EZ filed with the Internal Revenue Service. If the potential
35	35	2.5grantee has not been in existence long enough or is not required to file Form 990 or Form
36	36	2.6990-EZ, the potential grantee must demonstrate to the agency's satisfaction that the potential
37	37	2.7grantee is exempt and must instead submit the potential grantee's most recent board-reviewed
38	38	2.8financial statements and documentation of internal controls or, if there is no such board, by
39	39	2.9the applicant's managing group;
40	40	2.10 (3) for a potential grantee that is a for-profit business, the potential grantee's most recent
41	41	2.11federal and state tax returns, current financial statements, certification that the business is
42	42	2.12not under bankruptcy proceedings, and disclosure of any liens on its assets. If a business
43	43	2.13has not been in business long enough to have a tax return, the grantee must demonstrate to
44	44	2.14the agency's satisfaction that the grantee has appropriate internal financial controls;
45	45	2.15 (4) evidence of good standing with the secretary of state under chapter 317A, or other
46	46	2.16applicable law;
47	47	2.17 (5) a signed statement under oath submitted by the potential grantee certifying the
48	48	2.18potential grantee meets the minimum requirements under section 16C.285, subdivision 3,
49	49	2.19where applicable;
50	50	2.20 (5) (6) if the potential grantee is required to complete an audit under section 309.53,
51	51	2.21subdivision 3, the potential grantee's most recent audit report performed by an independent
52	52	2.22third party in accordance with generally accepted accounting principles; and
53	53	2.23 (6) (7) certification, provided by the potential grantee, that none of its current principals
54	54	2.24have been convicted of a felony financial crime in the last ten years. For this section, a
55	55	2.25principal is defined as a public official, a board member, or staff with the authority to access
56	56	2.26funds provided by this agency or determine how those funds are used.
57	57	2Sec. 2.
58	58	25-05078 as introduced03/27/25 REVISOR SGS/ES