HF 2000

1st Engrossment - 91st Legislature (2019 - 2020) Posted on 03/28/2019 05:08pm

A bill for an act
relating to human rights; changing requirements for certain contracts and certificate
of compliance; amending Minnesota Statutes 2018, sections 363A.36, subdivisions
1, 4; 363A.44, subdivision 1.

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

Section 1.

Minnesota Statutes 2018, section 363A.36, subdivision 1, is amended to read:

Subdivision 1.

Scope of application.

(a) For all contracts for goods and services in
excess of $100,000, no department or agency of the state new text begin or public officer or agency subject
to section 16A.695 new text end shall accept any bid or proposal for a contract or agreement from any
business having more than 40 full-time employees within this state on a single working day
during the previous 12 months, unless the commissioner is in receipt of the business'
affirmative action plan for the employment of minority persons, women, and qualified
disabled individuals. No department or agency of the state shall execute any such contract
or agreement until the affirmative action plan has been approved by the commissioner.
Receipt of a certificate of compliance issued by the commissioner shall signify that a firm
or business has an affirmative action plan that has been approved by the commissioner. A
certificate shall be valid for a period of four years. A municipality as defined in section
466.01, subdivision 1, that receives state money for any reason is encouraged to prepare
and implement an affirmative action plan for the employment of minority persons, women,
and the qualified disabled and submit the plan to the commissioner.

(b) This paragraph applies to a contract for goods or services in excess of $100,000 to
be entered into between a department or agency of the state new text begin or public officer or agency
subject to section 16A.695, new text end and a business that is not subject to paragraph (a), but that has
more than 40 full-time employees on a single working day during the previous 12 months
in the state where the business has its primary place of business. A department or agency
of the state may not execute a contract or agreement with a business covered by this paragraph
unless the business has a certificate of compliance issued by the commissioner under
paragraph (a) or the business certifies that it is in compliance with federal affirmative action
requirements.

(c) This section does not apply to contracts entered into by the State Board of Investment
for investment options under section 356.645.

(d) The commissioner shall issue a certificate of compliance or notice of denial within
15 days of the application submitted by the business or firm.

Sec. 2.

Minnesota Statutes 2018, section 363A.36, subdivision 4, is amended to read:

Subd. 4.

Revocation of contract.

A contract awarded by a department or agency of the
state new text begin , or a public officer or agency subject to section 16A.695, new text end may be terminated or abridged
by the department or agency new text begin , or public officer or agency subject to section 16A.695, new text end because
of suspension or revocation of a certificate based upon a contractor's failure to implement
or make a good faith effort to implement an affirmative action plan approved by the
commissioner under this section. If a contract is awarded to a person who does not have a
contract compliance certificate required under subdivision 1, the commissioner may void
the contract on behalf of the state.

Sec. 3.

Minnesota Statutes 2018, section 363A.44, subdivision 1, is amended to read:

Subdivision 1.

Scope.

(a) No department, agency of the state, the Metropolitan Council,
deleted text begin or deleted text end an agency subject to section 473.143, subdivision 1, new text begin or a public officer or agency subject
to section 16A.695, new text end shall execute a contract for goods or services or an agreement for goods
or services in excess of $500,000 with a business that has 40 or more full-time employees
in this state or a state where the business has its primary place of business on a single day
during the prior 12 months, unless the business has an equal pay certificate or it has certified
in writing that it is exempt. A certificate is valid for four years.

(b) This section does not apply to a business with respect to a specific contract if the
commissioner of administration determines that application of this section would cause
undue hardship to the contracting entity. This section does not apply to a contract to provide
goods and services to individuals under chapters 43A, 62A, 62C, 62D, 62E, 256B, 256I,
256L, and 268A, with a business that has a license, certification, registration, provider
agreement, or provider enrollment contract that is prerequisite to providing those goods and
services. This section does not apply to contracts entered into by the State Board of
Investment for investment options under section 352.965, subdivision 4.