HF 3586

as introduced - 86th Legislature (2009 - 2010) Posted on 03/09/2010 11:21am

A bill for an act
relating to transportation; modifying and adding provisions related to highway
construction contracting and disadvantaged business enterprises; amending
Minnesota Statutes 2008, sections 161.32, by adding subdivisions; 174.03,
subdivision 11; proposing coding for new law in Minnesota Statutes, chapter 174.

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

Section 1.

Minnesota Statutes 2008, section 161.32, is amended by adding a
subdivision to read:

new text begin Subd. 8. new text end

new text begin Bid-letting schedule. new text end

new text begin The commissioner shall publish on the department's
Web site a bid-letting schedule of anticipated trunk highway construction, reconstruction,
and maintenance projects for letting in the ensuing 12 months. At a minimum, the
schedule must include, for each project listed:
new text end

new text begin (1) the anticipated letting date;
new text end

new text begin (2) summary information on the project, including but not limited to its project
number, general location, trunk highway route number, and primary type of work;
new text end

new text begin (3) any estimate of funds expected to be expended on the project; and
new text end

new text begin (4) a disadvantaged business enterprise participation goal.
new text end

Sec. 2.

Minnesota Statutes 2008, section 161.32, is amended by adding a subdivision
to read:

new text begin Subd. 9. new text end

new text begin Certificate of compliance. new text end

new text begin The commissioner shall only accept bids
under this section in which the bidder has been issued a valid certificate of compliance as
provided under section 363A.36.
new text end

Sec. 3.

Minnesota Statutes 2008, section 161.32, is amended by adding a subdivision
to read:

new text begin Subd. 10. new text end

new text begin Disadvantaged business enterprise. new text end

new text begin The commissioner shall include in
each contract that is funded at least in part by federal funds:
new text end

new text begin (1) establishment of a disadvantaged business enterprise participation goal for the
project; and
new text end

new text begin (2) a sanction for each contractor who does not meet the established goal or
demonstrate good faith effort to meet the goal.
new text end

Sec. 4.

Minnesota Statutes 2008, section 174.03, subdivision 11, is amended to read:

Subd. 11.

Disadvantaged business enterprise program; report.

deleted text begin (a) The
commissioner shall include in each contract that is funded at least in part by federal funds,
a sanction for each contractor who does not meet the established project disadvantaged
business enterprise goal or demonstrate good faith effort to meet the goal.
deleted text end

deleted text begin (b) deleted text end The commissioner of transportation shall report by February 1 of each
odd-numbered year to the house of representatives and senate committees having
jurisdiction over transportation policy and finance concerning the commissioner's
disadvantaged business enterprise program. The report must, with respect to each of
the two previous calendar years:

(1) state the department's annual overall goal, compared with the percentage
attained new text begin , and identify the dollar amounts used in the calculations new text end ;

(2) explain the methodology, applicable facts, and public participation used to
establish the overall goal;

(3) describe good faith efforts to meet the goal, if the goal was not attained;

(4) describe actions to address overconcentration of disadvantaged business
enterprises in certain types of work;

(5) state the number of contracts that included disadvantaged business enterprise
goals, the number of contractors that met established disadvantaged business enterprise
goals, and sanctions imposed for lack of good faith effort; and

(6) describe contracts with no disadvantaged business enterprise goals, and, of
those, state number of contracts and amount of each contract with targeted groups under
section 16C.16.

Sec. 5.

new text begin [174.08] DISADVANTAGED BUSINESS ENTERPRISE.
new text end

new text begin Subdivision 1. new text end

new text begin Contractor workforce plan. new text end

new text begin (a) A contractor shall, for each
contracted trunk highway project that is funded at least in part by federal funds, submit to
the commissioner a workforce plan that:
new text end

new text begin (1) identifies contractor strategies in meeting the disadvantaged business enterprise
participation goal for the project; and
new text end

new text begin (2) provides a projection of employment by the contractor of women and minorities,
including projected hours of work for each group.
new text end

new text begin (b) The commissioner shall establish a deadline for plan submission under this
subdivision in conjunction with contract execution or preconstruction planning.
new text end

new text begin Subd. 2. new text end

new text begin Compliance review. new text end

new text begin By January 1, 2011, the commissioner shall establish
a compliance review process for in-depth monitoring and enforcement of contractor
compliance with good faith efforts to meet disadvantaged business enterprise participation
goals. At a minimum, the process must include criteria or methods for determining
noncompliance, and a system and timeline for referral of noncompliance cases to the
commissioner of human rights.
new text end

new text begin Subd. 3. new text end

new text begin Public information. new text end

new text begin (a) The commissioner shall publish on the
department's Web site:
new text end

new text begin (1) employment and earnings data which must include but are not limited to (i) total
hours worked by, and wages paid to, persons employed by a disadvantaged business
enterprise under contracts for trunk highway projects, with breakdowns by trade level,
race, and gender; and (ii) total hours worked by, and wages paid to, all persons under
contracts for trunk highway projects;
new text end

new text begin (2) a description of the contractor compliance review process as required under
subdivision 2;
new text end

new text begin (3) a summary of contractor compliance review findings, which must include but is
not limited to:
new text end

new text begin (i) identification of each contractor and project for which the commissioner has
undertaken a compliance review;
new text end

new text begin (ii) identification of each contractor and project that fails to make good faith efforts
or to meet the disadvantaged business enterprise participation goal;
new text end

new text begin (iii) identification of each contractor that is sanctioned;
new text end

new text begin (iv) the amount or nature of the sanction under item (iii); and
new text end

new text begin (v) identification of the number of compliance reviews performed and the number of
contracts for which no review was performed;
new text end

new text begin (4) a copy of any reports related to disadvantaged business enterprise requirements
that are submitted to the United States Department of Transportation, over at least the
previous five fiscal years; and
new text end

new text begin (5) a copy of the legislative report submitted under section 174.03, subdivision 11.
new text end

new text begin (b) Except as otherwise provided, the commissioner shall update the information
required to be published under paragraph (a) on at least a monthly basis.
new text end

Sec. 6. new text begin REVISOR'S INSTRUCTION.
new text end

new text begin The revisor of statutes shall recodify Minnesota Statutes, section 174.03, subdivision
11, as Minnesota Statutes, section 174.08, subdivision 4. The revisor shall correct any
cross-references to that provision made necessary by this recodification.
new text end

Sec. 7. new text begin EFFECTIVE DATE.
new text end

new text begin This act is effective the day following final enactment.
new text end