H.F. No. 1975, 1st Engrossment - 87th Legislative Session (2011-2012) Posted on Feb 29, 2012
1.2relating to state government; removing restrictions relating to outside contracts;
1.3requiring disclosure on where contract work takes place;amending Minnesota
1.4Statutes 2010, sections 16C.08, subdivisions 2, 4; 16C.09; 136F.77, subdivision
1.53; proposing coding for new law in Minnesota Statutes, chapter 16C; repealing
1.6Minnesota Statutes 2010, sections 16C.085; 43A.047; 179A.23.
1.7BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.8 Section 1. Minnesota Statutes 2010, section 16C.08, subdivision 2, is amended to read:
1.9 Subd. 2. Duties of contracting agency. (a) Before an agency may seek approval of
1.10a professional or technical services contract valued in excess of $5,000, it must provide
1.12 (1) a description of how the proposed contract or amendment is necessary and
1.13reasonable to advance the statutory mission of the agency;
1.14 (2) a description of the agency's plan to notify firms or individuals who may be
1.15available to perform the services called for in the solicitation;
1.16 (3) a description of the performance measures or other tools, including accessibility
1.17measures if applicable, that will be used to monitor and evaluate contract performance; and
1.18 (4) an explanation detailing, if applicable, why this procurement is being pursued
1.19unilaterally by the agency and not as an enterprise procurement.
1.20 (b) In addition to paragraph (a), the agency must certify that:
1.24performance of the services;
2.2to the public;
2.4assignment of specific agency personnel to manage the contract, including a monitoring
2.5and liaison function, the periodic review of interim reports or other indications of past
2.6performance, and the ultimate utilization of the final product of the services;
2.8fully executed unless an exception under section
2.9by the commissioner and funds are fully encumbered; and
2.11or the agency and any persons performing under the contract
2.20 (c) A contract establishes an employment relationship for purposes of paragraph (b),
2.22an independent contractor, a person would be considered an employee.
2.23 Sec. 2. Minnesota Statutes 2010, section 16C.08, subdivision 4, is amended to read:
2.24 Subd. 4. Reports. (a) The commissioner shall submit to the governor, the chairs and
2.25ranking minority members of the house of representatives Ways and Means and senate
2.26Finance Committees, and the Legislative Reference Library a yearly listing of all contracts
2.27for professional or technical services executed. The report must identify the contractor,
2.28contract amount, duration, and services to be provided. The commissioner shall also issue
2.29yearly reports summarizing the contract review activities of the department by fiscal year.
2.30 (b) The fiscal year report must be submitted by September 1 of each year and must:
2.31 (1) be sorted by agency and by contractor;
2.32 (2) show the aggregate value of contracts issued by each agency and issued to each
2.34 (3) distinguish between contracts that are being issued for the first time and contracts
2.35that are being extended;
3.1 (4) state the termination date of each contract;
3.2 (5) identify services by commodity code, including topics such as contracts for
3.3training, contracts for research and opinions, and contracts for computer systems; and
3.4 (6) identify which contracts were awarded without following the solicitation process
3.5in this chapter because it was determined that there was only a single source for the
3.7 (c) Within 30 days of final completion of a contract over $25,000 covered by this
3.8subdivision, the head of the agency entering into the contract must submit a report to the
3.9commissioner who must make the report publicly available online and submit a copy to
3.10the Legislative Reference Library. The report must:
3.11 (1) summarize the purpose of the contract, including why it was necessary to enter
3.12into a contract;
3.13 (2) state the amount spent on the contract;
3.14 (3) if the contract was awarded without following the solicitation process in this
3.15chapter because it was determined that there was only a single source for the services,
3.16explain why the agency determined there was only a single source for the services;
3.17 (4) specify the extent to which work under the contract was performed in Minnesota,
3.18was performed in the United States but outside Minnesota, or was performed outside the
3.19United States; and
3.20(5) include a written performance evaluation of the work done under the contract.
3.21The evaluation must include an appraisal of the contractor's timeliness, quality, cost, and
3.22overall performance in meeting the terms and objectives of the contract. Contractors may
3.23request copies of evaluations prepared under this subdivision and may respond in writing.
3.24Contractor responses must be maintained with the contract file.
3.25 Sec. 3. Minnesota Statutes 2010, section 16C.09, is amended to read:
3.2616C.09 PROCEDURE FOR SERVICE CONTRACTS.
3.27(a) Before entering into or approving a service contract, the commissioner must
3.28determine, at least, that:
3.32achievement of its statutory responsibilities and there is statutory authority to enter into
3.35or the agency and any persons performing under the contract;
4.3using the results of the work to be performed; and
4.5specific, written approval by the commissioner according to established policy, procedures,
4.6and standards, or unless otherwise provided for by law. The term of the original contract
4.7must not exceed two years, unless the commissioner determines that a longer duration is
4.8in the best interest of the state.
4.17(1) community service; or
4.18(2) conservation or maintenance services on lands under the jurisdiction and control
4.19of the state.
4.20 Sec. 4. [16C.175] RESPONSE TO DISCLOSE WHERE WORK WILL BE
4.22A response from a vendor in regard to a solicitation for a contract for professional or
4.23technical services or nonprofessional or nontechnical services must disclose the extent to
4.24which the vendor anticipates that work under the contract will be performed in Minnesota,
4.25in the United States but outside Minnesota, or outside the United States.
4.26 Sec. 5. Minnesota Statutes 2010, section 136F.77, subdivision 3, is amended to read:
4.27 Subd. 3. No abrogation. Nothing in this section shall abrogate the
4.29 Sec. 6. REPEALER.
4.30Minnesota Statutes 2010, sections 16C.085; 43A.047; and 179A.23, are repealed.