HF 3294

as introduced - 86th Legislature (2009 - 2010) Posted on 03/01/2010 10:12am

A bill for an act
relating to state government; creating the Sunset Advisory Commission;
providing for sunset and review of state agencies; proposing coding for new
law as Minnesota Statutes, chapter 3D.

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

Section 1.

new text begin [3D.01] SHORT TITLE.
new text end

new text begin This chapter may be cited as the Minnesota Sunset Act.
new text end

Sec. 2.

new text begin [3D.02] DEFINITIONS.
new text end

new text begin Subdivision 1. new text end

new text begin Scope. new text end

new text begin The definitions in this section apply to this chapter.
new text end

new text begin Subd. 2. new text end

new text begin Advisory committee. new text end

new text begin "Advisory committee" means a committee, council,
commission, or other entity created under state law whose primary function is to advise
a state agency.
new text end

new text begin Subd. 3. new text end

new text begin Commission. new text end

new text begin "Commission" means the Sunset Advisory Commission.
new text end

new text begin Subd. 4. new text end

new text begin State agency. new text end

new text begin "State agency" means an agency expressly made subject
to this chapter.
new text end

Sec. 3.

new text begin [3D.03] SUNSET ADVISORY COMMISSION.
new text end

new text begin Subdivision 1. new text end

new text begin Membership. new text end

new text begin The Sunset Advisory Commission consists of 12
members appointed by the governor, as follows:
new text end

new text begin (1) three senators and three members of the house of representatives, with no more
than three of the six legislators being from the same political party; and
new text end

new text begin (2) six public members, including members with executive-level experience in
business management, mergers and consolidation, finance, law, and accounting.
new text end

new text begin Subd. 2. new text end

new text begin Public member restrictions. new text end

new text begin An individual is not eligible for appointment
as a public member if the individual or the individual's spouse is:
new text end

new text begin (1) regulated by a state agency that the commission will review during the term for
which the individual would serve;
new text end

new text begin (2) employed by, participates in the management of, or directly or indirectly has
more than a ten percent interest in a business entity or other organization regulated by a
state agency the commission will review during the term for which the individual would
serve; or
new text end

new text begin (3) required to register as a lobbyist under chapter 10A because of the person's
activities for compensation on behalf of a profession or entity related to the operation of
an agency under review.
new text end

new text begin Subd. 3. new text end

new text begin Removal. new text end

new text begin It is a ground for removal of a public member from the
commission if the member does not have the qualifications required by subdivision 2
for appointment to the commission at the time of appointment or does not maintain the
qualifications while serving on the commission. The validity of the commission's action is
not affected by the fact that it was taken when a ground for removal of a public member
from the commission existed.
new text end

new text begin Subd. 4. new text end

new text begin Terms. new text end

new text begin Legislative members serve two-year terms expiring September 1 of
each odd-numbered year. Public members serve two-year terms expiring September 1 of
each odd-numbered year.
new text end

new text begin Subd. 5. new text end

new text begin Limits. new text end

new text begin Members are subject to the following restrictions:
new text end

new text begin (1) after an individual serves four years on the commission, the individual is not
eligible for appointment to another term or part of a term;
new text end

new text begin (2) a legislative member who serves a full term may not be appointed to an
immediately succeeding term; and
new text end

new text begin (3) a public member may not serve consecutive terms, and, for purposes of this
prohibition, a member is considered to have served a term only if the member has served
more than one-half of the term.
new text end

new text begin Subd. 6. new text end

new text begin Appointments. new text end

new text begin The governor shall make appointments before September
1 of each odd-numbered year.
new text end

new text begin Subd. 7. new text end

new text begin Legislative members. new text end

new text begin If a legislative member ceases to be a member
of the legislative body from which the member was appointed, the member vacates
membership on the commission.
new text end

new text begin Subd. 8. new text end

new text begin Vacancies. new text end

new text begin If a vacancy occurs, the governor shall appoint a person to serve
for the remainder of the unexpired term in the same manner as the original appointment.
new text end

new text begin Subd. 9. new text end

new text begin Officers. new text end

new text begin The commission shall have a chair and vice-chair as presiding
officers. The chair and vice-chair must alternate every two years between the two
membership groups: legislators and public members. The chair and vice-chair may not be
from the same membership group.
new text end

new text begin Subd. 10. new text end

new text begin Quorum; voting. new text end

new text begin Seven members of the commission constitute a
quorum. A final action or recommendation may not be made unless approved by a
recorded vote of at least seven members. All other actions by the commission shall be
decided by a majority of the members present and voting.
new text end

new text begin Subd. 11. new text end

new text begin Compensation. new text end

new text begin Each member of the commission is entitled to
reimbursement for actual and necessary expenses incurred in performing commission
duties. Each legislative member is entitled to reimbursement from the appropriate
fund of the member's respective legislative body. Each public member is entitled to
reimbursement from funds appropriated to the commission.
new text end

Sec. 4.

new text begin [3D.04] STAFF.
new text end

new text begin The commission shall employ an executive director to act as the executive head of
the commission. The executive director shall employ persons necessary to carry out
this chapter.
new text end

Sec. 5.

new text begin [3D.05] RULES.
new text end

new text begin The commission shall adopt rules necessary to carry out this chapter.
new text end

Sec. 6.

new text begin [3D.06] AGENCY REPORT TO COMMISSION.
new text end

new text begin Before September 1 of the odd-numbered year before the year in which a state agency
is subject to sunset review, the agency commissioner shall report to the commission:
new text end

new text begin (1) information regarding the application to the agency of the criteria in section
3D.10;
new text end

new text begin (2) a priority-based budget for the agency;
new text end

new text begin (3) an inventory of all boards, commissions, committees, and other entities related
to the agency; and
new text end

new text begin (4) any other information that the agency commissioner considers appropriate or that
is requested by the commission.
new text end

Sec. 7.

new text begin [3D.07] COMMISSION DUTIES.
new text end

new text begin Before January 1 of the year in which a state agency subject to this chapter and its
advisory committees are subject to sunset review, the commission shall:
new text end

new text begin (1) review and take action necessary to verify the reports submitted by the agency;
new text end

new text begin (2) conduct a review of the agency based on the criteria provided in section 3D.10
and prepare a written report; and
new text end

new text begin (3) review the implementation of commission recommendations contained in the
reports presented to the legislature during the preceding legislative session and the
resulting legislation.
new text end

Sec. 8.

new text begin [3D.08] PUBLIC HEARINGS.
new text end

new text begin Before February 1 of the year a state agency subject to this chapter and its advisory
committees are subject to sunset review, the commission shall conduct public hearings
concerning but not limited to the application to the agency of the criteria provided in
section 3D.10.
new text end

Sec. 9.

new text begin [3D.09] COMMISSION REPORT.
new text end

new text begin At each regular legislative session, the commission shall present to the legislature
and the governor a report on the agencies and advisory committees reviewed. In the
report the commission shall include:
new text end

new text begin (1) its findings regarding the criteria prescribed by section 3D.10;
new text end

new text begin (2) its recommendations based on the matters prescribed by section 3D.11; and
new text end

new text begin (3) other information the commission considers necessary for a complete review
of the agency.
new text end

Sec. 10.

new text begin [3D.10] CRITERIA FOR REVIEW.
new text end

new text begin The commission and its staff shall consider the following criteria in determining
whether a public need exists for the continuation of a state agency or its advisory
committees or for the performance of the functions of the agency or its advisory
committees:
new text end

new text begin (1) the efficiency and effectiveness with which the agency or the advisory committee
operates;
new text end

new text begin (2) an identification of the mission, goals, and objectives intended for the agency or
advisory committee and of the problem or need that the agency or advisory committee
was intended to address and the extent to which the mission, goals, and objectives have
been achieved and the problem or need has been addressed;
new text end

new text begin (3) an identification of any activities of the agency in addition to those granted by
statute and of the authority for those activities and the extent to which those activities
are needed;
new text end

new text begin (4) an assessment of authority of the agency relating to fees, inspections,
enforcement, and penalties;
new text end

new text begin (5) whether less restrictive or alternative methods of performing any function that
the agency performs could adequately protect or provide service to the public;
new text end

new text begin (6) the extent to which the jurisdiction of the agency and the programs administered
by the agency overlap or duplicate those of other agencies, the extent to which the agency
coordinates with those agencies, and the extent to which the programs administered by the
agency can be consolidated with the programs of other state agencies;
new text end

new text begin (7) the promptness and effectiveness with which the agency addresses complaints
concerning entities or other persons affected by the agency, including an assessment of the
agency's administrative hearings process;
new text end

new text begin (8) an assessment of the agency's rulemaking process and the extent to which the
agency has encouraged participation by the public in making its rules and decisions and
the extent to which the public participation has resulted in rules that benefit the public;
new text end

new text begin (9) the extent to which the agency has complied with federal and state laws and
applicable rules regarding equality of employment opportunity and the rights and privacy
of individuals; and state law and applicable rules of any state agency regarding purchasing
guidelines and programs for historically underutilized businesses;
new text end

new text begin (10) the extent to which the agency issues and enforces rules relating to potential
conflicts of interest of its employees;
new text end

new text begin (11) the extent to which the agency complies with chapter 13 and follows records
management practices that enable the agency to respond efficiently to requests for public
information; and
new text end

new text begin (12) the effect of federal intervention or loss of federal funds if the agency is
abolished.
new text end

Sec. 11.

new text begin [3D.11] RECOMMENDATIONS.
new text end

new text begin (a) In its report on a state agency, the commission shall:
new text end

new text begin (1) make recommendations on the abolition, continuation, or reorganization of each
affected state agency and its advisory committees and on the need for the performance of
the functions of the agency and its advisory committees;
new text end

new text begin (2) make recommendations on the consolidation, transfer, or reorganization of
programs within state agencies not under review when the programs duplicate functions
performed in agencies under review; and
new text end

new text begin (3) make recommendations to improve the operations of the agency, its policy body,
and its advisory committees, including management recommendations that do not require
a change in the agency's enabling statute.
new text end

new text begin (b) The commission shall include the estimated fiscal impact of its recommendations
and may recommend appropriation levels for certain programs to improve the operations
of the state agency.
new text end

new text begin (c) The commission shall have drafts of legislation prepared to carry out the
commission's recommendations under this section.
new text end

new text begin (d) After the legislature acts on the report under section 3D.09, the commission shall
present to the legislative auditor the commission's recommendations that do not require
a statutory change to be put into effect. Subject to the legislative audit commission's
approval, the legislative auditor may examine the recommendations and include as part
of the next audit of the agency a report on whether the agency has implemented the
recommendations and, if so, in what manner.
new text end

Sec. 12.

new text begin [3D.12] MONITORING OF RECOMMENDATIONS.
new text end

new text begin During each legislative session, the staff of the commission shall monitor legislation
affecting agencies that have undergone sunset review and shall periodically report
to the members of the commission on proposed changes which would modify prior
recommendations of the commission.
new text end

Sec. 13.

new text begin [3D.13] REVIEW OF ADVISORY COMMITTEES.
new text end

new text begin An advisory committee, the primary function of which is to advise a particular state
agency, is subject to sunset review on the date set for sunset review of the agency unless
the advisory committee is expressly continued by law.
new text end

Sec. 14.

new text begin [3D.14] CONTINUATION BY LAW.
new text end

new text begin During the regular session immediately before the sunset review of a state agency or
an advisory committee that is subject to this chapter, the legislature may enact legislation
to continue the agency or advisory committee for a period not to exceed 12 years. This
chapter does not prohibit the legislature from:
new text end

new text begin (1) terminating a state agency or advisory committee subject to this chapter at a date
earlier than that provided in this chapter; or
new text end

new text begin (2) considering any other legislation relative to a state agency or advisory committee
subject to this chapter.
new text end

Sec. 15.

new text begin [3D.15] PROCEDURE AFTER TERMINATION.
new text end

new text begin (a) Unless otherwise provided by law:
new text end

new text begin (1) if after sunset review a state agency is abolished, the agency may continue in
existence until September 1 of the following year to conclude its business;
new text end

new text begin (2) abolishment does not reduce or otherwise limit the powers and authority of the
state agency during the concluding year;
new text end

new text begin (3) a state agency is terminated and shall cease all activities at the expiration of
the one-year period; and
new text end

new text begin (4) all rules that have been adopted by the state agency expire at the expiration of
the one-year period.
new text end

new text begin (b) Any unobligated and unexpended appropriations of an abolished agency or
advisory committee lapse on September 1 of the even-numbered year after abolishment.
new text end

new text begin (c) Except as provided by paragraph (e) or as otherwise provided by law, all money
in a dedicated fund of an abolished state agency or advisory committee on September 1 of
the even-numbered year after abolishment is transferred to the general fund. The part of
the law dedicating the money to a specific fund of an abolished agency becomes void on
September 1 of the even-numbered year after abolishment.
new text end

new text begin (d) Unless the governor designates an appropriate state agency as prescribed
by paragraph (e), property and records in the custody of an abolished state agency or
advisory committee on September 1 of the even-numbered year after abolishment must
be transferred to the commissioner of administration. If the governor designates an
appropriate state agency, the property and records must be transferred to the designated
state agency.
new text end

new text begin (e) The legislature recognizes the state's continuing obligation to pay bonded
indebtedness and all other obligations, including lease, contract, and other written
obligations, incurred by a state agency abolished under this chapter, and this chapter
does not impair or impede the payment of bonded indebtedness and all other obligations,
including lease, contract, and other written obligations, in accordance with their terms.
If an abolished state agency has outstanding bonded indebtedness or other outstanding
obligations, including lease, contract, and other written obligations, the bonds and
all other obligations, including lease, contract, and other written obligations, remain
valid and enforceable in accordance with their terms and subject to all applicable
terms and conditions of the laws and proceedings authorizing the bonds and all other
obligations, including lease, contract, and other written obligations. The governor shall
designate an appropriate state agency that shall continue to carry out all covenants
contained in the bonds and in all other obligations, including lease, contract, and other
written obligations, and the proceedings authorizing them, including the issuance of
bonds, and the performance of all other obligations, including lease, contract, and other
written obligations, to complete the construction of projects or the performance of other
obligations, including lease, contract, and other written obligations. The designated state
agency shall provide payment from the sources of payment of the bonds in accordance
with the terms of the bonds and shall provide payment from the sources of payment of all
other obligations, including lease, contract, and other written obligations, in accordance
with their terms, whether from taxes, revenues, or otherwise, until the bonds and interest
on the bonds are paid in full and all other obligations, including lease, contract, and other
written obligations, are performed and paid in full. If the proceedings so provide, all funds
established by laws or proceedings authorizing the bonds or authorizing other obligations,
including lease, contract, and other written obligations, must remain with the comptroller
or the previously designated trustees. If the proceedings do not provide that the funds
remain with the comptroller or the previously designated trustees, the funds must be
transferred to the designated state agency.
new text end

Sec. 16.

new text begin [3D.16] ASSISTANCE OF AND ACCESS TO STATE AGENCIES.
new text end

new text begin The commission may request the assistance of state agencies and officers. When
assistance is requested, a state agency or officer shall assist the commission. In carrying
out its functions under this chapter, the commission or its designated staff member may
inspect the records, documents, and files of any state agency.
new text end

Sec. 17.

new text begin [3D.17] RELOCATION OF EMPLOYEES.
new text end

new text begin If an employee is displaced because a state agency or its advisory committee is
abolished or reorganized, the state agency shall make a reasonable effort to relocate the
displaced employee.
new text end

Sec. 18.

new text begin [3D.18] SAVING PROVISION.
new text end

new text begin Except as otherwise expressly provided, abolition of a state agency does not affect
rights and duties that matured, penalties that were incurred, civil or criminal liabilities that
arose, or proceedings that were begun before the effective date of the abolition.
new text end

Sec. 19.

new text begin [3D.19] REVIEW OF PROPOSED LEGISLATION CREATING AN
AGENCY.
new text end

new text begin Each bill filed in a house of the legislature that would create a new state agency or
a new advisory committee to a state agency shall be reviewed by the commission. The
commission shall review the bill to determine if:
new text end

new text begin (1) the proposed functions of the agency or committee could be administered by one
or more existing state agencies or advisory committees;
new text end

new text begin (2) the form of regulation, if any, proposed by the bill is the least restrictive form of
regulation that will adequately protect the public;
new text end

new text begin (3) the bill provides for adequate public input regarding any regulatory function
proposed by the bill; and
new text end

new text begin (4) the bill provides for adequate protection against conflicts of interest within
the agency or committee.
new text end

Sec. 20.

new text begin [3D.20] GIFTS AND GRANTS.
new text end

new text begin The commission may accept gifts, grants, and donations from any organization
described in section 501(c)(3) of the Internal Revenue Code for the purpose of funding
any activity under this chapter. All gifts, grants, and donations must be accepted in an
open meeting by a majority of the voting members of the commission and reported in the
public record of the commission with the name of the donor and purpose of the gift, grant,
or donation. Money received under this section is appropriated to the commission.
new text end

Sec. 21.

new text begin [3D.21] EXPIRATION.
new text end

new text begin Subdivision 1. new text end

new text begin Group 1. new text end

new text begin The following agencies are subject to sunset review before
June 30, 2011: Department of Health, Department of Human Rights, Department of
Human Services, all health-related licensing boards listed in section 214.01, Council
on Affairs of Chicano/Latino People, Council on Black Minnesotans, Council on
Asian-Pacific Minnesotans, Indian Affairs Council, Council on Disabilities, and all
advisory groups associated with these agencies.
new text end

new text begin Subd. 2. new text end

new text begin Group 2. new text end

new text begin The following agencies are subject to sunset review before June
30, 2013: Department of Education, Board of Teaching, Minnesota Office of Higher
Education, and all advisory groups associated with these agencies.
new text end

new text begin Subd. 3. new text end

new text begin Group 3. new text end

new text begin The following agencies are subject to sunset review before
June 30, 2015: Department of Commerce, Department of Employment and Economic
Development, Department of Labor and Industry, all non-health-related licensing boards
listed in section 214.01 except as otherwise provided in this section, Explore Minnesota
Tourism, Public Utilities Commission, Iron Range Resources and Rehabilitation
Board, Bureau of Mediation Services, Combative Sports Commission, Amateur Sports
Commission, and all advisory groups associated with these agencies.
new text end

new text begin Subd. 4. new text end

new text begin Group 4. new text end

new text begin The following agencies are subject to sunset review before
June 30, 2017: Department of Corrections, Department of Public Safety, Department of
Transportation, Peace Officer Standards and Training Board, Corrections Ombudsman,
and all advisory groups associated with these agencies.
new text end

new text begin Subd. 5. new text end

new text begin Group 5. new text end

new text begin The following agencies are subject to sunset review before June
30, 2019: Department of Agriculture, Department of Natural Resources, Pollution Control
Agency, Board of Animal Health, Board of Water and Soil Resources, and all advisory
groups associated with these agencies.
new text end

new text begin Subd. 6. new text end

new text begin Group 6. new text end

new text begin The following agencies are subject to sunset review before
June 30, 2021: Department of Administration, Department of Finance, Department of
Military Affairs, Department of Revenue, Department of Veterans Affairs, Arts Board,
Minnesota Zoo, Office of Administrative Hearings, Board of Campaign Finance and
Public Disclosure, Capitol Area Architectural and Planning Board, Office of Enterprise
Technology, Minnesota Racing Commission, and all advisory groups associated with
these agencies.
new text end

new text begin Subd. 7. new text end

new text begin Continuation. new text end

new text begin Following sunset review of an agency, the legislature shall
act within the same legislative session in which the sunset report was received on Sunset
Advisory Commission recommendations to abolish, continue, or reorganize the agency.
new text end

new text begin Subd. 8. new text end

new text begin Other groups. new text end

new text begin The commission may review, under the criteria in
section 3D.10, and propose to the legislature an expiration date for, any agency, board,
commission, or program not listed in this section.
new text end