HF 358

as introduced - 91st Legislature (2019 - 2020) Posted on 01/24/2019 02:16pm

A bill for an act
relating to arts and cultural heritage; modifying requirements for funding; creating
civil penalty for projects promoting terrorism or criminal activity; amending
Minnesota Statutes 2018, section 129D.17, subdivision 2, by adding a subdivision.

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

Section 1.

Minnesota Statutes 2018, section 129D.17, subdivision 2, is amended to read:

Subd. 2.

Expenditures; accountability.

(a) Funding from the arts and cultural heritage
fund may be spent only for arts, arts education, and arts access, and to preserve Minnesota's
history and cultural heritage. A project or program receiving funding from the arts and
cultural heritage fund must include measurable outcomes, and a plan for measuring and
evaluating the results. A project or program must be consistent with current scholarship, or
best practices, when appropriate and must incorporate state-of-the-art technology when
appropriate.

(b) Funding from the arts and cultural heritage fund may be granted for an entire project
or for part of a project so long as the recipient provides a description and cost for the entire
project and can demonstrate that it has adequate resources to ensure that the entire project
will be completed.

(c) Money from the arts and cultural heritage fund shall be expended for benefits across
all regions and residents of the state.

(d) A state agency or other recipient of a direct appropriation from the arts and cultural
heritage fund must compile and submit all information for funded projects or programs,
including the proposed measurable outcomes and all other items required under section
3.303, subdivision 10, to the Legislative Coordinating Commission as soon as practicable
or by January 15 of the applicable fiscal year, whichever comes first. The Legislative
Coordinating Commission must post submitted information on the website required under
section 3.303, subdivision 10, as soon as it becomes available.

(e) Grants funded by the arts and cultural heritage fund must be implemented according
to section 16B.98 and must account for all expenditures of funds. Priority for grant proposals
must be given to proposals involving grants that will be competitively awarded.

(f) new text begin Individual recipients of money from the arts and cultural heritage fund must be
residents of Minnesota. new text end All money from the arts and cultural heritage fund must be for
projects located in Minnesota. new text begin Recipients of money from the arts and cultural heritage fund
must complete the project in Minnesota. If a grant recipient is no longer able to complete
the project in Minnesota, the grant recipient must return any remaining grant money to the
state.
new text end

(g) When practicable, a direct recipient of an appropriation from the arts and cultural
heritage fund shall prominently display on the recipient's website home page the legacy
logo required under Laws 2009, chapter 172, article 5, section 10, as amended by Laws
2010, chapter 361, article 3, section 5, accompanied by the phrase "Click here for more
information." When a person clicks on the legacy logo image, the website must direct the
person to a web page that includes both the contact information that a person may use to
obtain additional information, as well as a link to the Legislative Coordinating Commission
website required under section 3.303, subdivision 10.

(h) Future eligibility for money from the arts and cultural heritage fund is contingent
upon a state agency or other recipient satisfying all applicable requirements in this section,
as well as any additional requirements contained in applicable session law. If the Office of
the Legislative Auditor, in the course of an audit or investigation, publicly reports that a
recipient of money from the arts and cultural heritage fund has not complied with the laws,
rules, or regulations in this section or other laws applicable to the recipient, the recipient
must be listed in an annual report to the legislative committees with jurisdiction over the
legacy funds. The list must be publicly available. The legislative auditor shall remove a
recipient from the list upon determination that the recipient is in compliance. A recipient
on the list is not eligible for future funding from the arts and cultural heritage fund until the
recipient demonstrates compliance to the legislative auditor.

(i) Any state agency or organization requesting a direct appropriation from the arts and
cultural heritage fund must inform the house of representatives and senate committees
having jurisdiction over the arts and cultural heritage fund, at the time the request for funding
is made, whether the request is supplanting or is a substitution for any previous funding that
was not from a legacy fund and was used for the same purpose.

Sec. 2.

Minnesota Statutes 2018, section 129D.17, is amended by adding a subdivision to
read:

new text begin Subd. 6. new text end

new text begin Prohibited activities; civil penalty. new text end

new text begin (a) Money from the arts and cultural
heritage fund must not be used for projects that promote domestic terrorism or criminal
activities.
new text end

new text begin (b) The commissioner of administration may impose a civil penalty not to exceed ten
times the amount of the grant or award for the project for a violation of this subdivision. If
the commissioner proposes to take action to impose a civil penalty, the commissioner must
first notify the person against whom the action is to be taken and provide the person with
an opportunity to request a hearing under the contested case provisions of chapter 14. Service
of the notice of violation of this subdivision and the proposed penalty must be made
personally or by certified mail, return receipt requested. If the person does not request a
hearing by notifying the commissioner within 30 days after service of the notice of the
proposed action, the commissioner may proceed with the action without a hearing.
new text end

new text begin (c) The civil penalty recovered must be deposited in the general fund, except that the
amount of the original grant or award must be deposited in the arts and cultural heritage
fund. In addition to the civil penalty, a person found in violation of this subdivision must
reimburse the commissioner for the costs of the investigation and proceedings, attorney
fees, and other administrative hearing or court costs incurred as a result of action taken
under this subdivision.
new text end