HF 545

as introduced - 87th Legislature (2011 - 2012) Posted on 02/17/2011 09:53am

A bill for an act
relating to state government; requiring state budget documents to include federal
insolvency contingency planning; amending Minnesota Statutes 2010, section
16A.10, by adding a subdivision.

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

Section 1.

Minnesota Statutes 2010, section 16A.10, is amended by adding a
subdivision to read:

new text begin Subd. 1d. new text end

new text begin Federal insolvency contingency planning. new text end

new text begin Each executive agency that
receives federal funds must include as part of its budget presentation an analysis of the
implications for the agency if there is federal government insolvency or dramatically
reduced federal payments. The analysis must:
new text end

new text begin (1) identify the risks to the agency related to the federal government's potential
inability to meet its financial or service commitments;
new text end

new text begin (2) estimate the impact of the risks to the agency in terms of potential loss of federal
revenue and the resulting impact to state services;
new text end

new text begin (3) recommend strategies that would help the agency adjust to and minimize the
loss of income and service impact;
new text end

new text begin (4) recommend a plan for continuous monitoring of specific leading indicators
of the federal government's inability to meet its obligations that trigger certain actions
by the agency; and
new text end

new text begin (5) recommend specific steps to be taken by the agency if the actions are triggered.
new text end