HF 2103

as introduced - 89th Legislature (2015 - 2016) Posted on 03/25/2015 10:51am

A bill for an act
relating to public employment; forbidding collective bargaining contracts in
which the cost exceeds the growth in private sector gross domestic product;
proposing coding for new law in Minnesota Statutes, chapter 179A.

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

Section 1.

new text begin [179A.195] LIMIT ON CONTRACT COSTS.
new text end

new text begin (a) By July 1 each year, the commissioner of management and budget must certify
the percentage increase in the private sector gross domestic product of Minnesota during
the year ending the prior December 31, based on data supplied by the federal Bureau of
Economic Analysis. The commissioner must publish this percentage in the State Register.
new text end

new text begin (b) Before entering into a contract under this chapter, a public employer must
calculate the anticipated annual percentage increase in costs to the employer each year of
the contract as a result of the contract. A public employer may not enter into a contract
if the percentage calculated by the public employer under this paragraph for any year of
the contract is greater than the most recent percentage certified by the commissioner of
management and budget under paragraph (a).
new text end

new text begin (c) An arbitrator may not issue an award that would cause a public employer to
violate the limits of this section.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2015. The commissioner of
management and budget must make the first certification of the percentage increase in the
private sector gross domestic product on that date, and the limits in paragraphs (b) and
(c) apply to contracts entered into after that certification.
new text end