HF 2660

as introduced - 86th Legislature (2009 - 2010) Posted on 02/09/2010 11:32pm

A bill for an act
relating to state government; creating the Minnesota Coalition for Innovation and
Collaboration; providing for certain rule and law waivers; appropriating money;
amending Minnesota Statutes 2008, section 6.80; proposing coding for new law
in Minnesota Statutes, chapter 16B.

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

ARTICLE 1

MINNESOTA COALITION FOR INNOVATION AND COLLABORATION

Section 1.

new text begin [16B.90] MINNESOTA COALITION FOR INNOVATION AND
COLLABORATION.
new text end

new text begin Subdivision 1. new text end

new text begin Creation; purpose. new text end

new text begin The Minnesota Coalition for Innovation and
Collaboration is created to facilitate innovation and collaboration among the not-for-profit,
public, and private sectors in order to address high-priority community needs. The
coalition is located within the Department of Administration for administrative purposes.
The commissioner shall arrange for administrative and staff assistance for the coalition.
new text end

new text begin Subd. 2. new text end

new text begin Duties. new text end

new text begin The Minnesota Coalition for Innovation and Collaboration is
a multisector collaborative that seeks and promotes ideas for addressing high-priority
community needs by facilitating innovation and collaboration across sectors, and by
facilitating the implementation and growth of successful ideas. In performing this mission,
the coalition shall:
new text end

new text begin (1) elicit, encourage, and respond to feedback from public, private, and not-for-profit
stakeholders by identifying needs, sharing ideas for meeting these needs, and addressing
concerns about current funding sources or grant requirements;
new text end

new text begin (2) reward the most innovative cross-agency or cross-sector ideas with innovation
challenge grants as provided in subdivision 4;
new text end

new text begin (3) share information about new developments and opportunities for collaboration
and promote best practices across agencies and sectors;
new text end

new text begin (4) identify key policy initiatives and opportunities for partnerships to maximize
public and private resources; and
new text end

new text begin (5) identify additional public and private sustainable resources to replicate successful
ideas.
new text end

new text begin Subd. 3. new text end

new text begin Steering committees. new text end

new text begin The work of the coalition shall be guided by
a steering committee appointed by and serving at the pleasure of the commissioner.
The committee must be composed of ten to 15 leaders from the public, private, and
not-for-profit sectors.
new text end

new text begin Subd. 4. new text end

new text begin Innovation challenge grants. new text end

new text begin The coalition shall establish a competitive
grant program called the innovation challenge. The innovation challenge shall provide
seed funding for ideas for program or service improvements to meet high-priority
community needs. The coalition steering committee shall solicit proposals from state
agency employees, local governments, not-for-profit organizations, the private sector,
and individual citizens, and award grants. In awarding the grants, the coalition steering
committee shall prioritize proposals that (1) improve social outcomes in high-priority
community needs, (2) foster cross-agency and cross-sector collaboration, (3) include a
plan to become self-sustaining within five years, and (4) have potential to achieve cost
savings for state agencies or deliver services more efficiently. Grants shall be awarded
from an innovation challenge account. The account consists of amounts appropriated to
the account by law and of contributions to the account from private sources. Money in
the account is appropriated to the coalition for purposes of making grants under this
subdivision.
new text end

Sec. 2. new text begin APPROPRIATION.
new text end

new text begin $....... is appropriated from the general fund for the fiscal year ending June 30, 2011,
to the commissioner of administration for purposes of the innovation challenge grant
program in Minnesota Statutes, section 16B.90. This appropriation is available only to the
extent of receipt of a dollar-for-dollar match from private sources.
new text end

ARTICLE 2

RULE AND LAW WAIVERS

Section 1.

Minnesota Statutes 2008, section 6.80, is amended to read:

6.80 RULE AND LAW WAIVER REQUESTS.

Subdivision 1.

Generally.

(a) Except as provided in paragraph (b), a local
government unit new text begin or not-for-profit organization new text end may request the state auditor to grant
a waiver from one or more administrative rules or a temporary, limited exemption
from enforcement of state procedural laws governing delivery of services by the local
government unit new text begin or not-for-profit organization new text end . Two or more local government units new text begin or
not-for-profit organizations, or a combination of local government units and not-for-profit
organizations new text end may submit a joint application for a waiver or exemption under this section
if they propose to cooperate in providing a service or program that is subject to the rule
or law. Before submitting an application to the state auditor, the governing body of the
local government unit must approve, in concept, the proposed waiver or exemption at a
meeting required to be public under chapter 13D. A local government unit or two or
more units acting jointly may apply for a waiver or exemption on behalf of a deleted text begin nonprofit deleted text end
new text begin not-for-profit new text end organization providing services to clients whose costs are paid by the unit or
units. A waiver or exemption granted to a deleted text begin nonprofit deleted text end new text begin not-for-profit new text end organization under this
section applies to services provided to all the organization's clients.

(b) A school district that is granted a variance from rules of the commissioner of
education under section 122A.163, need not apply for a waiver of those rules under
this section. A school district may not seek a waiver of rules under this section if the
commissioner of education has authority to grant a variance to the rules under section
122A.163. This paragraph does not preclude a school district from being included in a
cooperative effort with another local government unit under this section.

(c) Before petitioning the state auditor's office for an exemption from an
administrative rule, the petitioner must have requested and been denied such an exemption
from the appropriate agency pursuant to sections 14.055 and 14.056.

Subd. 2.

Application.

A local government unit new text begin or not-for-profit organization
new text end requesting a waiver of a rule or exemption from enforcement of a law under this section
shall present a written application to the state auditor. The application must include:

(1) the name and address of the entity for whom a waiver of a rule or exemption
from enforcement of a law is being requested;

(2) identification of the service or program at issue;

(3) identification of the administrative rule or the law imposing a procedural
requirement with respect to which the waiver or exemption is sought;

(4) a description of the improved service outcome sought, including an explanation
of the effect of the waiver or exemption in accomplishing that outcome, and why that
outcome cannot be accomplished under established rules or laws;

(5) information on the state auditor's office treatment on similar cases;

(6) the name, address, and telephone number of any person, business, or other
government unit the petitioner knows would be adversely affected by the grant of the
petition; and

(7) a signed statement as to the accuracy of the facts presented.

A copy of the application must be provided by the requesting local government unit to
the exclusive representative certified under section 179A.12 to represent employees who
provide the service or program affected by the requested waiver or exemption new text begin or by the
not-for-profit organization to any exclusive representative of its employees new text end .

Subd. 3.

Review process.

(a) Upon receipt of an application from a local
government unit new text begin or not-for-profit organization new text end , the state auditor shall review the
application. The state auditor shall dismiss an application if the application proposes a
waiver of rules or exemption from enforcement of laws that would result in due process
violations, violations of federal law or the state or federal constitution, or the loss of
services to people who are entitled to them.

(b) The state auditor shall determine whether a law from which an exemption
for enforcement is sought is a procedural law, specifying how a local government unit new text begin
or not-for-profit organization new text end is to achieve an outcome, rather than a substantive law
prescribing the outcome or otherwise establishing policy. For the purposes of this
section, "procedural law" does not include a statutory notice requirement. In making the
determination, the state auditor shall consider whether the law specifies such requirements
as:

(1) who must deliver a service;

(2) where the service must be delivered;

(3) to whom and in what form reports regarding the service must be made; and

(4) how long or how often the service must be made available to a given recipient.

(c) If the application requests a waiver of a rule or temporary, limited exemptions
from enforcement of a procedural law over which the Metropolitan Council or a
metropolitan agency has jurisdiction, the state auditor shall also transmit a copy of the
application to the council or applicable metropolitan agency, whichever has jurisdiction,
for review and comment. The council or agency shall report its comments to the board
within 60 days of the date the application was transmitted to the council or agency. The
council or agency may point out any resources or technical assistance it may be able to
provide a local government unit submitting a request under this section.

(d) Within 15 days after receipt of the application, the state auditor shall transmit a
copy of it to the commissioner of each agency having jurisdiction over a rule or law
from which a waiver or exemption is sought. The agency may mail a notice that it has
received an application for a waiver or exemption to all persons who have registered with
the agency under section 14.14, subdivision 1a, identifying the rule or law from which a
waiver or exemption is requested. If no agency has jurisdiction over the rule or law,
the state auditor shall transmit a copy of the application to the attorney general. The
agency shall inform the state auditor of its agreement with or objection to and grounds
for objection to the waiver or exemption request within 60 days of the date when the
application was transmitted to it. An agency's failure to do so is considered agreement
to the waiver or exemption. The state auditor shall decide whether to grant a waiver
or exemption at the end of the 60-day response period. Interested persons may submit
written comments to the state auditor on the waiver or exemption request up to the end of
the 60-day response period.

(e) If the exclusive representative of the affected employees of the requesting local
government unit new text begin or not-for-profit organization new text end objects to the waiver or exemption request
it may inform the state auditor of the objection to and the grounds for the objection to the
waiver or exemption request within 60 days of the receipt of the application.

Subd. 4.

Hearing.

If a state agency under subdivision 3, paragraph (d), or the
exclusive representative of the affected employees under subdivision 3, paragraph (e),
has objected to a waiver or exemption request, the state auditor's office shall set a date
for a hearing on the applications. The hearing must be conducted informally at a time
and place determined by all parties. Persons representing the local government unit new text begin or
not-for-profit organization new text end shall present their case for the waiver or exemption, and
persons representing the agency or the exclusive representative of the affected employees
shall explain their objection to it. The state auditor may request additional information
from the local government unit new text begin or not-for-profit organization new text end or either objecting party. The
state auditor may also request, either before or at the hearing, information or comments
from representatives of business, labor, local governments, state agencies, consultants, and
members of the public. If necessary, the hearing may be continued for a later date. The
state auditor may modify the terms of the waiver or exemption request in arriving at the
agreement required under subdivision 5.

Subd. 5.

Conditions of agreements.

(a) In determining whether to grant a petition
for a waiver of a rule or exemption from enforcement of a law, the state auditor should
consider the following factors:

(1) whether there is a true and unique impediment under current law to
accomplishing the goal of the local government unit new text begin or not-for-profit organization new text end ;

(2) granting the waiver of a rule or exemption from enforcement of law will only
change procedural requirements of a local government unit new text begin or not-for-profit organization new text end ;

(3) the purpose of any rule or law that is waived is still being met in another manner;

(4) granting the proposed waiver of a rule or exemption from enforcement of a law
would result in a more efficient means of providing deleted text begin government deleted text end services; and

(5) granting the proposed waiver will not have a significant negative impact on other
state government, local government units, businesses, or citizens.

(b) If the state auditor grants a request for a waiver or exemption, the state auditor
and the local government unit new text begin or not-for-profit organization new text end shall enter into an agreement
providing for the delivery of the service or program that is the subject of the application.
The agreement must specify desired outcomes, the reasons why the desired outcomes
cannot be met under current laws or rules, and the means of measurement by which the
state auditor will determine whether the outcomes specified in the agreement have been
met. The agreement must specify the duration of the waiver or exemption. The duration of
a waiver from an administrative rule may be for no less than two years and no more than
four years, subject to renewal if both parties agree. An exemption from enforcement of a
law terminates ten days after adjournment of the regular legislative session held during the
calendar year following the year when the exemption is granted, unless the legislature has
acted to extend or make permanent the exemption.

(c) The state auditor must report any grants of waivers or exemptions to the
legislature, including the chairs of the governmental operations and appropriate policy
committees in the house of representatives and senate, and the governor within 30 days.

(d) The state auditor may reconsider or renegotiate the agreement if the rule or law
affected by the waiver or exemption is amended or repealed during the term of the original
agreement. A waiver of a rule under this section has the effect of a variance granted by an
agency under section 14.055. A local unit of government new text begin or not-for-profit organization new text end
that is granted an exemption from enforcement of a procedural requirement in state law
under this section is exempt from that law for the duration of the exemption. The state
auditor may require periodic reports from the local government unit new text begin or not-for-profit
organization new text end , or conduct investigations of the service or program.

Subd. 6.

Enforcement.

If the state auditor finds that the local government unit new text begin or
not-for-profit organization new text end is failing to comply with the terms of the agreement under
subdivision 5, the state auditor may rescind the agreement. Upon the rescission, the
local unit of government new text begin or not-for-profit organization new text end becomes subject to the rules and
laws covered by the agreement.

Subd. 7.

Access to data.

If a local government unit new text begin or not-for-profit organization new text end ,
through a cooperative program under this section, gains access to data collected, created,
received, or maintained by another local government that is classified as not public, the
unit gaining access is governed by the same restrictions on access to and use of the data as
the unit that collected, created, received, or maintained the data.