HF 2057

as introduced - 91st Legislature (2019 - 2020) Posted on 03/13/2019 12:30pm

A bill for an act
relating to state government; allowing the commissioner or a nationally recognized
certifying organization to certify small businesses for participation in state
procurement programs; amending Minnesota Statutes 2018, section 16C.19.

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

Section 1.

Minnesota Statutes 2018, section 16C.19, is amended to read:

16C.19 ELIGIBILITY; RULES.

(a) A small business wishing to participate in the programs under section 16C.16,
subdivisions 4 to 7, must be certified by the commissioner new text begin or, if authorized by the
commissioner, by a nationally recognized certifying organization new text end . new text begin The commissioner may
choose to authorize a nationally recognized certifying organization if the certification
requirements are substantially the same as those adopted under the rules authorized in this
section and the business meets the requirements in section 16C.16, subdivision 2.
new text end

new text begin (b) new text end The commissioner shall adopt by rule standards and procedures for certifying that
small targeted group businesses, small businesses located in economically disadvantaged
areas, and veteran-owned small businesses are eligible to participate under the requirements
of sections 16C.16 to 16C.21. The commissioner shall adopt by rule standards and procedures
for hearing appeals and grievances and other rules necessary to carry out the duties set forth
in sections 16C.16 to 16C.21.

deleted text begin (b) deleted text end new text begin (c) new text end The commissioner may make rules which exclude or limit the participation of
nonmanufacturing business, including third-party lessors, brokers, franchises, jobbers,
manufacturers' representatives, and others from eligibility under sections 16C.16 to 16C.21.

deleted text begin (c) deleted text end new text begin (d) new text end The commissioner may make rules that set time limits and other eligibility limits
on business participation in programs under sections 16C.16 to 16C.21.

deleted text begin (d) deleted text end new text begin (e) new text end Notwithstanding paragraph (a), for purposes of sections 16C.16 to 16C.21, a
veteran-owned small business, the principal place of business of which is in Minnesota, is
certified if:

(1) it has been verified by the United States Department of Veterans Affairs as being
either a veteran-owned small business or a service-disabled veteran-owned small business,
in accordance with Public Law 109-461 and Code of Federal Regulations, title 38, part 74;
or

(2) the veteran-owned small business supplies the commissioner with proof that the
small business is majority-owned and operated by:

(i) a veteran as defined in section 197.447; or

(ii) a veteran with a service-connected disability, as determined at any time by the United
States Department of Veterans Affairs.

deleted text begin (e) deleted text end new text begin (f) new text end Until rules are adopted pursuant to paragraph (a) for the purpose of certifying
veteran-owned small businesses, the provisions of Minnesota Rules, part 1230.1700, may
be read to include veteran-owned small businesses. In addition to the documentation required
in Minnesota Rules, part 1230.1700, the veteran owner must have been discharged under
honorable conditions from active service, as indicated by the veteran owner's most current
United States Department of Defense form DD-214.

deleted text begin (f) deleted text end new text begin (g) new text end Notwithstanding paragraph (a), for purposes of sections 16C.16 to 16C.21, a
minority- or woman-owned small business, the principal place of business of which is in
Minnesota, is certified if it has been certified by the Minnesota unified certification program
under the provisions of Code of Federal Regulations, title 49, part 26.

deleted text begin (g) deleted text end new text begin (h) new text end The commissioner may adopt rules to implement the programs under section
16C.16, subdivisions 4 to 7, using the expedited rulemaking process in section 14.389.