SF 4149

Introduction - 94th Legislature (2025 - 2026)

Posted on 03/10/2026 09:16 a.m.

A bill for an act
relating to state government; changing provisions for grants management; amending
Minnesota Statutes 2024, sections 16B.97, subdivisions 4, 5; 16B.98, subdivision
11; 16B.991, subdivision 1.

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

Section 1.

Minnesota Statutes 2024, section 16B.97, subdivision 4, is amended to read:

Subd. 4.

Duties.

(a) The commissioner shall:

(1) create general grants management policies and procedures that are applicable to all
executive agencies. The commissioner may approve exceptions to these policies and
procedures deleted text begin for particular grant programs deleted text end . Exceptions shall expire or be renewed after five
years. Executive agencies shall retain management of individual grants programs;

(2) provide a central point of contact concerning statewide grants management policies
and procedures;

(3) serve as a resource to executive agencies in such areas as training, evaluation,
collaboration, and best practices in grants management;

(4) ensure grants management needs are considered in the development, upgrade, and
use of statewide administrative systems and leverage existing technology wherever possible;

(5) oversee and approve future professional and technical service contracts and other
information technology spending related to executive agency grants management systems
and activities;

(6) provide a central point of contact for comments about executive agencies violating
statewide grants governance policies and about fraud and waste in grants processes;

(7) forward received comments to the appropriate agency for further action, and may
follow up as necessary;

(8) provide a single listing of all available executive agency competitive grant
opportunities and resulting grant recipients;

(9) selectively review development and implementation of executive agency grants,
policies, and practices; and

(10) selectively review executive agency compliance with best practices.

(b) The commissioner may determine that it is cost-effective for agencies to develop
and use shared grants management technology systems. This system would be governed
under section 16E.01, subdivision 3, paragraph (b).

Sec. 2.

Minnesota Statutes 2024, section 16B.97, subdivision 5, is amended to read:

Subd. 5.

Data classification.

Data maintained by the commissioner that identify a person
providing comments to the commissioner under subdivision 4, paragraph (a), clauses (6)
and (7), are private and nonpublic data deleted text begin but may be shared with the executive agency that is
the subject of the comments deleted text end .

Sec. 3.

Minnesota Statutes 2024, section 16B.98, subdivision 11, is amended to read:

Subd. 11.

Encumbrance exception.

Notwithstanding subdivision 5, paragraph (a),
clause deleted text begin (2) deleted text end new text begin (3) new text end , or section 16C.05, subdivision 2, paragraph (a), clause (3), agencies may
permit a specifically named, legislatively appropriated, noncompetitive grant recipient to
incur eligible expenses based on an agreed upon work plan and budget for up to 60 days
prior to an encumbrance being established in the accounting system.

Sec. 4.

Minnesota Statutes 2024, section 16B.991, subdivision 1, is amended to read:

Subdivision 1.

Criminal conviction.

Each grant agreement subject to sections 16B.97
and 16B.98 must provide that the agreement will immediately be terminated if the recipient
is convicted of a criminal offense relating to a state grant agreement. new text begin "Recipient" includes
individuals, entities, and key personnel of entities, including board members, officers,
executives, employees, or agents with authority over or access to grant funds, and any
individual in a position of fiduciary responsibility related to the grant.
new text end