SF 536

2nd Engrossment - 86th Legislature (2009 - 2010) Posted on 02/09/2010 02:13am

A bill for an act
relating to public contracts; authorizing the state, MNSCU, the University of
Minnesota, and cities to adopt a program requiring certain hiring practices in
construction and services contracts; amending Minnesota Statutes 2008, section
136F.581, by adding a subdivision; proposing coding for new law in Minnesota
Statutes, chapters 16C; 137; 471.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

new text begin [16C.092] HIRING REQUIREMENTS IN CERTAIN PROCUREMENT
CONTRACTS.
new text end

new text begin The commissioner may adopt rules under section 16C.03, that require persons
or entities that contract with the state for construction or services contracts to employ
a minimum number or percentage of low-income persons or former offenders in the
performance of the contract and for the duration of the contract unless the employee is
terminated for cause. At a minimum, the rules must state the type of contracts covered,
the minimum dollar amount of the contract to which the hiring requirement applies, a
definition of "low-income" if the policy applies to hiring of low-income persons, how the
required number or percentage of persons employed may be calculated, and the extent
to which the rules may be met by existing employees of the contractor or new hires by
the contractor. The rules may provide for penalties to be imposed on the contractor for
failure to comply with the hiring requirements of the policy including, but not limited to,
civil penalties and restrictions on future contractual agreements with the contractor. This
section does not apply to contracts between the state and an exclusive representative of
state employees. For the purposes of this section, "former offender" means an individual
who is not currently incarcerated but who has previously been convicted of a felony,
regardless of whether the individual is currently under correctional supervision.
new text end

Sec. 2.

Minnesota Statutes 2008, section 136F.581, is amended by adding a subdivision
to read:

new text begin Subd. 5. new text end

new text begin Hiring requirements in certain procurement contracts. new text end

new text begin The board may
develop policies and procedures consistent with this section that require persons or entities
that contract with the board or the colleges and universities for construction or services
contracts to employ a minimum number or percentage of low-income persons or former
offenders in the performance of the contract and for the duration of the contract unless the
employee is terminated for cause. At a minimum, the policies and procedures must state
the type of contracts covered, the minimum dollar amount of the contract to which the
hiring requirement applies, a definition of "low-income" if the policies and procedures
apply to hiring of low-income persons, how the required number or percentage of persons
employed may be calculated, and the extent to which the requirements may be met by
existing employees of the contractor or new hires by the contractor. The policies and
procedures may provide for penalties to be imposed on the contractor for failure to comply
with the hiring requirements of the policies and procedures including, but not limited to,
civil penalties and restrictions on future contractual agreements between the university and
the contractor. This section does not apply to contracts between the board and the colleges
and universities and an exclusive representative of their employees. For the purposes of
this section, "former offender" means an individual who is not currently incarcerated but
who has previously been convicted of a felony, regardless of whether the individual is
currently under correctional supervision.
new text end

Sec. 3.

new text begin [137.32] HIRING REQUIREMENTS IN CERTAIN PROCUREMENT
CONTRACTS.
new text end

new text begin The Regents of the University of Minnesota may adopt a policy that persons
or entities that contract with the university for construction or services contracts be
required to employ a minimum number or percentage of low-income persons or former
offenders in the performance of the contract and for the duration of the contract unless
the employee is terminated for cause. The regents shall establish procurement rules to
govern the program authorized by this section. At a minimum, the rules must state the
type of contracts covered, the minimum dollar amount of the contract to which the hiring
requirement applies, a definition of "low-income" if the ordinance applies to hiring of
low-income persons, how the required number or percentage of persons employed may be
calculated, and the extent to which the requirements may be met by existing employees
of the contractor or new hires by the contractor. The rules may provide for penalties to
be imposed on the contractor for failure to comply with the hiring requirements of the
rules including, but not limited to, civil penalties and restrictions on future contractual
agreements between the university and the contractor. This section does not apply to
contracts between the university and an exclusive representative of university employees.
For the purposes of this section, "former offender" means an individual who is not
currently incarcerated but who has previously been convicted of a felony, regardless of
whether the individual is currently under correctional supervision.
new text end

Sec. 4.

new text begin [471.347] HIRING REQUIREMENTS AUTHORIZED IN CITY
CONTRACTS.
new text end

new text begin A statutory or home rule charter city may provide by ordinance that persons or
entities that contract with the city for construction or services contracts be required to
employ a minimum number or percentage of city residents, low-income city residents, or
former offenders in the performance of the contract and for the duration of the contract
unless the employee is terminated for cause. At a minimum, the ordinance must state
the type of contracts covered, the minimum dollar amount of the contract to which the
hiring requirement applies, a definition of "low-income" if the ordinance applies to
hiring of low-income city residents, how the required number or percentage of persons
employed may be calculated, and the extent to which the requirements may be met by
existing employees of the contractor or new hires by the contractor. The ordinance may
provide for penalties to be imposed on the contractor for failure to comply with the
hiring requirements of the city ordinance including, but not limited to, civil penalties and
restrictions on future contractual agreements between the city and the contractor. This
section does not apply to contracts between the city and an exclusive representative of city
employees. For the purposes of this section, "former offender" means an individual who is
not currently incarcerated but who has previously been convicted of a felony, regardless of
whether the individual is currently under correctional supervision.
new text end