1.1 	A bill for an act
1.2 	proposing an amendment to the Minnesota Constitution, article XII, by adding 
1.3 	sections; prohibiting unfunded mandates by the state to local governments.
1.4 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.5 	Section 1. CONSTITUTIONAL AMENDMENT PROPOSED.
 1.6 	The following amendment to the Minnesota Constitution, article XII, is proposed to the 
1.7 	people. If the amendment is adopted, the new sections will read as follows:

1.8 	Sec. 6. Except as provided in section 7, the legislature shall pass no law and an agency 
1.9 	of the state shall adopt no rule that requires a local government unit to establish, expand, 
1.10 	modify, or administer a program, service, standard, duty, or responsibility that necessitates 
1.11 	an increase in expenditures by the local government unit, unless the legislature appropriates 
1.12 	funding to cover the entire anticipated cost of compliance based on objective evidence and 
1.13 	forecasting. A law or rule in violation of this section is unenforceable against a local 
1.14 	government unit to the extent of the unfunded cost imposed. A local government unit may 
1.15 	seek declaratory or injunctive relief for a violation of this section. This section must be 
1.16 	liberally construed to prevent the transfer of costs by the state to local government units 
1.17 	and to protect taxpayers from indirect taxation by the state through unfunded mandates that 
1.18 	necessitate an increase in property taxes.

1.19 	Sec. 7. A local government unit must comply with a law or rule that meets one or more 
1.20 	of the following criteria, regardless of whether funding is appropriated by the legislature:
1.21 	(a) a law (1) defining a criminal offense or criminal procedure, or (2) enforcing a criminal 
1.22 	law or criminal procedure;
2.1 	(b) a law enacted during a declared emergency and adopted by the vote of at least 
2.2 	two-thirds of the members of each body of the legislature;
2.3 	(c) a law or rule required by the federal government to be enacted by a state to comply 
2.4 	with federal law or to receive federal money;
2.5 	(d) a law, ordinance, or regulation adopted by the local government unit and approved 
2.6 	by the voters; or
2.7 	(e) a law or rule that has an anticipated fiscal impact on a local government unit that 
2.8 	does not exceed one percent of a local government unit's annual operating budget.

2.9 	Sec. 2. SUBMISSION TO VOTERS.
 2.10 	(a) The proposed amendment must be submitted to the people at the 2026 general election. 
2.11 	The question submitted shall be:
2.12 	"Shall the Minnesota Constitution be amended to prohibit the state from imposing 
2.13 	requirements on local government units without appropriating money to cover the cost of 
2.14 	compliance, except requirements associated with criminal laws, emergencies approved by 
2.15 	a two-thirds vote of the legislature, compliance with federal requirements, voter-approved 
2.16 	local actions, and mandates with a negligible cost, effective as of January 1, 2027?

2.17		Yes ........
		
2.18		No ........"
		
2.19 	(b) The title required under Minnesota Statutes, section 204D.15, subdivision 1, for the 
2.20 	question submitted to the people under paragraph (a) shall be: "State Unfunded Mandates 
2.21 	Prohibited."

2.22 	EFFECTIVE DATE. This section is effective the day following final enactment.