1.1                          A bill for an act
  1.2             relating to state government; providing that the 
  1.3             legislature is subject to certain laws that govern 
  1.4             state executive agencies; requiring study of certain 
  1.5             topics; amending Minnesota Statutes 1994, sections 
  1.6             16A.124, subdivision 1; 43A.05, subdivision 5; 43A.19, 
  1.7             subdivision 1; 179A.03, subdivision 15; and 363.073, 
  1.8             subdivision 1; proposing coding for new law in 
  1.9             Minnesota Statutes, chapter 3. 
  1.10  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.11     Section 1.  [3.2241] [COMPETITIVE BIDDING.] 
  1.12     All contracts that the house of representatives, the 
  1.13  senate, the legislative coordinating commission, or any other 
  1.14  commission or entity in the legislative branch enters into for 
  1.15  construction or repairs, and all purchases of and all contracts 
  1.16  for supplies, materials, purchase or rental of equipment, and 
  1.17  utility services must be based on competitive bids.  These 
  1.18  contracts are subject to the competitive bid requirements of 
  1.19  sections 16B.07 to 16B.09, and to the provisions of sections 
  1.20  16B.101, 16B.102, 16B.103, 16B.121, 16B.122, 16B.123, 16B.18, 
  1.21  16B.185, and 16B.19 to 16B.227 to the extent that these sections 
  1.22  grant preferences in contracting. 
  1.23     Sec. 2.  [3.2242] [PROFESSIONAL AND TECHNICAL SERVICE 
  1.24  CONTRACTS.] 
  1.25     Subdivision 1.  [APPLICATION.] This section applies to a 
  1.26  contract for professional or technical services entered into by 
  1.27  the house of representatives, the senate, the legislative 
  2.1   coordinating commission, or any group under the jurisdiction of 
  2.2   the legislative coordinating commission.  For purposes of this 
  2.3   section, "professional or technical services" contract has the 
  2.4   meaning defined in section 16B.17. 
  2.5      Subd. 2.  [REQUIREMENTS FOR ALL CONTRACTS.] Before entering 
  2.6   into a contract for professional or technical services, the 
  2.7   contracting entity must determine that: 
  2.8      (1) all provisions of section 16B.19, subdivision 2, have 
  2.9   been verified or complied with; 
  2.10     (2) the work to be performed under the contract is 
  2.11  necessary to the entity's achievement of its responsibilities; 
  2.12     (3) the contract will not establish an employment 
  2.13  relationship between the state or the entity and any persons 
  2.14  performing under the contract; 
  2.15     (4) no current legislative employees will engage in the 
  2.16  performance of the contract; 
  2.17     (5) no state agency has previously performed or contracted 
  2.18  for the performance of tasks which would be substantially 
  2.19  duplicated under the proposed contract; 
  2.20     (6) the contracting entity has specified a satisfactory 
  2.21  method of evaluating and using the results of the work to be 
  2.22  performed; and 
  2.23     (7) the combined contract and amendments will not extend 
  2.24  for more than five years. 
  2.25     Subd. 3.  [CONTRACTS OVER $5,000.] Before entering into a 
  2.26  contract for professional or technical services valued in excess 
  2.27  of $5,000, the contracting entity must also determine that: 
  2.28     (1) no legislative employee is able to perform the services 
  2.29  called for by the contract; 
  2.30     (2) reasonable efforts were made to publicize the 
  2.31  availability of the contract to the public; 
  2.32     (3) the entity has received, reviewed, and accepted a 
  2.33  detailed work plan from the contractor for performance under the 
  2.34  contract; and 
  2.35     (4) the entity has developed, and fully intends to 
  2.36  implement, a written plan providing for the assignment of 
  3.1   personnel to a monitoring and liaison function, the periodic 
  3.2   review of interim reports or other indications of past 
  3.3   performance, and the ultimate utilization of the final product 
  3.4   of the services. 
  3.5      Subd. 4.  [RENEWALS.] The renewal of a professional or 
  3.6   technical service contract must comply with all requirements, 
  3.7   including notice, applicable to the original contract.  A 
  3.8   renewal contract must be identified as such.  All notices and 
  3.9   reports on a renewal contract must state the date of the 
  3.10  original contract and the amount previously paid under the 
  3.11  contract. 
  3.12     Subd. 5.  [REPORTS.] (a) The house of representatives, the 
  3.13  senate, and the legislative coordinating commission shall submit 
  3.14  to the legislative reference library a monthly listing of all 
  3.15  contracts for professional or technical services executed in the 
  3.16  preceding month.  The report must identify the parties and the 
  3.17  contract amount, duration, and tasks to be performed. 
  3.18     (b) The monthly report must: 
  3.19     (1) be sorted by contracting entity and by contractor; 
  3.20     (2) show the aggregate value of contracts issued by each 
  3.21  agency and issued to each contractor; 
  3.22     (3) distinguish between contracts that are being issued for 
  3.23  the first time and contracts that are being renewed; 
  3.24     (4) state the termination date of each contract; and 
  3.25     (5) categorize contracts according to subject matter, 
  3.26  including topics such as contracts for training, contracts for 
  3.27  research and opinions, and contracts for computer systems. 
  3.28     (c) Within 30 days of final completion of a contract over 
  3.29  $5,000 covered by this subdivision, the chief executive of the 
  3.30  entity entering into the contract must file a one-page 
  3.31  performance report with the legislative reference library.  The 
  3.32  report must: 
  3.33     (1) summarize the purpose of the contract, including why it 
  3.34  was necessary to enter into a contract; 
  3.35     (2) state the amount spent on the contract; and 
  3.36     (3) explain why this amount was a cost-effective way to 
  4.1   enable the entity to provide its services or products better or 
  4.2   more efficiently. 
  4.3      Subd. 6.  [CONTRACT TERMS.] (a) A professional or technical 
  4.4   services contract must by its terms permit the contracting 
  4.5   entity to unilaterally terminate the contract prior to 
  4.6   completion, upon payment of just compensation, if the entity 
  4.7   determines that further performance under the contract would not 
  4.8   serve entity purposes.  If the final product of the contract is 
  4.9   a written report, a copy must be filed with the legislative 
  4.10  reference library. 
  4.11     (b) The terms of a contract must provide that no more than 
  4.12  90 percent of the amount due under the contract may be paid 
  4.13  until the final product has been reviewed by the person entering 
  4.14  into the contract on behalf of the contracting entity, and that 
  4.15  person has certified that the contractor has satisfactorily 
  4.16  fulfilled the terms of the contract. 
  4.17     Sec. 3.  [3.2243] [INFORMATION SYSTEMS; TELECOMMUNICATION.] 
  4.18     The house of representatives, the senate, and any other 
  4.19  commission or entity in the legislative branch are considered 
  4.20  state agencies for purposes of administration and control of 
  4.21  state computer activities and information systems under sections 
  4.22  16B.40 and 16B.41, and control of state telecommunication 
  4.23  facilities under section 16B.46. 
  4.24     Sec. 4.  [3.2244] [ACCOUNTING; PAYROLL.] 
  4.25     The house of representatives, the senate, and any other 
  4.26  commission or entity in the legislative branch must use the 
  4.27  uniform accounting and payroll systems prescribed by the 
  4.28  commissioner of finance. 
  4.29     Sec. 5.  Minnesota Statutes 1994, section 16A.124, 
  4.30  subdivision 1, is amended to read: 
  4.31     Subdivision 1.  [DEFINITIONS.] For the purposes of this 
  4.32  section, the following terms have the meanings here given them.  
  4.33     (a) "Commissioner" means the commissioner of finance.  
  4.34     (b) "State agency" has the meaning assigned to it in 
  4.35  section 16B.01, and also includes the house of representatives, 
  4.36  the senate, and any other commission or entity in the 
  5.1   legislative branch.  
  5.2      Sec. 6.  Minnesota Statutes 1994, section 43A.05, 
  5.3   subdivision 5, is amended to read: 
  5.4      Subd. 5.  [COMPARABILITY ADJUSTMENTS.] The commissioner 
  5.5   shall compile, subject to availability of funds and personnel, 
  5.6   and submit to the legislative commission on employee relations 
  5.7   by January 1 of each odd-numbered year a list showing, by 
  5.8   bargaining unit, and by plan for executive branch employees 
  5.9   covered by a plan established under section 43A.18, those 
  5.10  female-dominated classes and those male-dominated classes in 
  5.11  state civil service for which a compensation inequity exists 
  5.12  based on comparability of the value of the work.  The 
  5.13  commissioner shall also submit to the legislative commission on 
  5.14  employee relations, along with the list, an estimate of the 
  5.15  appropriation necessary for providing comparability adjustments 
  5.16  for classes on the list.  The house of representatives, the 
  5.17  senate, and the legislative coordinating commission shall each 
  5.18  compile and submit to the legislative commission on employee 
  5.19  relations by January 1 of each odd-numbered year similar lists 
  5.20  of compensation inequities and proposed appropriations for 
  5.21  employees under their respective jurisdictions.  The commission 
  5.22  shall review and approve, disapprove, or modify the list and 
  5.23  proposed appropriation.  The commission's action must be 
  5.24  submitted to the full legislature.  The full legislature may 
  5.25  approve, reject, or modify the commission's action.  The 
  5.26  commission shall show the distribution of the proposed 
  5.27  appropriation among the bargaining units and among the plans 
  5.28  established under 43A.18.  Each bargaining unit and each plan 
  5.29  must be allocated that proportion of the total proposed 
  5.30  appropriation that equals the cost of providing adjustments for 
  5.31  the positions in the unit or plan approved by the commission for 
  5.32  comparability adjustments divided by the total cost of providing 
  5.33  adjustments for all positions on the list approved by the 
  5.34  commission for comparability adjustments.  Distribution of any 
  5.35  appropriated funds within each bargaining unit or plan must be 
  5.36  determined by collective bargaining agreements or by plans. 
  6.1      Sec. 7.  Minnesota Statutes 1994, section 43A.19, 
  6.2   subdivision 1, is amended to read: 
  6.3      Subdivision 1.  [STATEWIDE AFFIRMATIVE ACTION PROGRAM.] (a) 
  6.4   To assure that positions in the executive branch and legislative 
  6.5   branches of the civil service are equally accessible to all 
  6.6   qualified persons, and to eliminate the underutilization of 
  6.7   qualified members of protected groups, the commissioner shall 
  6.8   adopt and periodically revise, if necessary, a statewide 
  6.9   affirmative action program.  The statewide affirmative action 
  6.10  program must consist of at least the following: 
  6.11     (1) objectives, goals, and policies; 
  6.12     (2) procedures, standards, and assumptions to be used by 
  6.13  agencies in the preparation of agency affirmative action plans, 
  6.14  including methods by which goals and timetables are established; 
  6.15  and 
  6.16     (3) requirements for annual objectives and submission of 
  6.17  affirmative action progress reports from heads of agencies. 
  6.18     (b) The commissioner shall base affirmative action goals on 
  6.19  at least the following factors: 
  6.20     (1) the percentage of members of each protected class in 
  6.21  the recruiting area population who have the necessary skills; 
  6.22     (2) the availability for promotion or transfer of members 
  6.23  of protected classes in the recruiting area population; 
  6.24     (3) the extent of unemployment of members of protected 
  6.25  classes in the recruiting area population; 
  6.26     (4) the existence of training programs in needed skill 
  6.27  areas offered by employing agencies and other institutions; and 
  6.28     (5) the expected number of available positions to be filled.
  6.29     (c) The commissioner shall designate a state director of 
  6.30  equal employment opportunity who may be delegated the 
  6.31  preparation, revision, implementation, and administration of the 
  6.32  program.  The commissioner of employee relations may place the 
  6.33  director's position in the unclassified service if the position 
  6.34  meets the criteria established in section 43A.08, subdivision 1a.
  6.35     Sec. 8.  Minnesota Statutes 1994, section 179A.03, 
  6.36  subdivision 15, is amended to read: 
  7.1      Subd. 15.  [PUBLIC EMPLOYER.] "Public employer" or 
  7.2   "employer" means:  
  7.3      (a) the state of Minnesota for legislative branch and 
  7.4   employees of the state not otherwise provided for in this 
  7.5   subdivision or section 179A.10 for executive branch employees; 
  7.6      (b) the board of regents of the University of Minnesota for 
  7.7   its employees; and 
  7.8      (c) notwithstanding any other law to the contrary, the 
  7.9   governing body of a political subdivision or its agency or 
  7.10  instrumentality which has final budgetary approval authority for 
  7.11  its employees.  However, the views of elected appointing 
  7.12  authorities who have standing to initiate interest arbitration, 
  7.13  and who are responsible for the selection, direction, 
  7.14  discipline, and discharge of individual employees shall be 
  7.15  considered by the employer in the course of the discharge of 
  7.16  rights and duties under sections 179A.01 to 179A.25.  
  7.17     When two or more units of government subject to sections 
  7.18  179A.01 to 179A.25 undertake a project or form a new agency 
  7.19  under law authorizing common or joint action, the employer is 
  7.20  the governing person or board of the created agency.  The 
  7.21  governing official or body of the cooperating governmental units 
  7.22  shall be bound by an agreement entered into by the created 
  7.23  agency according to sections 179A.01 to 179A.25.  
  7.24     "Public employer" or "employer" does not include a 
  7.25  "charitable hospital" as defined in section 179.35, subdivision 
  7.26  2.  
  7.27     Nothing in this subdivision diminishes the authority 
  7.28  granted pursuant to law to an appointing authority with respect 
  7.29  to the selection, direction, discipline, or discharge of an 
  7.30  individual employee if this action is consistent with general 
  7.31  procedures and standards relating to selection, direction, 
  7.32  discipline, or discharge which are the subject of an agreement 
  7.33  entered into under sections 179A.01 to 179A.25.  
  7.34     Sec. 9.  Minnesota Statutes 1994, section 363.073, 
  7.35  subdivision 1, is amended to read: 
  7.36     Subdivision 1.  [SCOPE OF APPLICATION.] No department or 
  8.1   agency in any branch of the state government shall accept any 
  8.2   bid or proposal for a contract or agreement or execute any 
  8.3   contract or agreement for goods or services in excess of $50,000 
  8.4   with any business having more than 20 full-time employees on a 
  8.5   single working day during the previous 12 months, unless the 
  8.6   firm or business has an affirmative action plan for the 
  8.7   employment of minority persons, women, and the disabled that has 
  8.8   been approved by the commissioner of human rights.  Receipt of a 
  8.9   certificate of compliance issued by the commissioner shall 
  8.10  signify that a firm or business has an affirmative action plan 
  8.11  that has been approved by the commissioner.  A certificate shall 
  8.12  be valid for a period of two years.  A municipality as defined 
  8.13  in section 466.01, subdivision 1, that receives state money for 
  8.14  any reason is encouraged to prepare and implement an affirmative 
  8.15  action plan for the employment of minority persons, women, and 
  8.16  the disabled and submit the plan to the commissioner of human 
  8.17  rights. 
  8.18     Sec. 10.  [STUDIES.] 
  8.19     Subdivision 1.  [CIVIL SERVICE.] The legislature determines 
  8.20  that all employment positions in the house of representatives, 
  8.21  the senate, and other commissions and entities in the 
  8.22  legislative branch should be in the classified state civil 
  8.23  service unless political affiliation is an appropriate ground 
  8.24  for selection for the position.  The legislative coordinating 
  8.25  commission shall report to the legislature by January 15, 1996, 
  8.26  on which legislative positions meet the criteria for exclusion 
  8.27  from the classified service. 
  8.28     Subd. 2.  [DATA PRACTICES.] The legislature determines that 
  8.29  the government data practices act should apply to the 
  8.30  legislature.  The legislative coordinating commission shall 
  8.31  report to the legislature by January 15, 1996, on its 
  8.32  recommendations for any legislative data that should be 
  8.33  classified as other than public under the data practices act. 
  8.34     Subd. 3.  [LEGISLATOR PENSIONS.] The legislature determines 
  8.35  that the value of a year of service credit under the legislators 
  8.36  pension plan should be not greater than the value of a year of 
  9.1   service for an employee with the same salary in the Minnesota 
  9.2   state retirement system general plan.  The legislative 
  9.3   coordinating commission shall report to the legislature by 
  9.4   January 15, 1996, on its recommendations for changes in the 
  9.5   legislative pension plan to comply with this policy. 
  9.6      Subd. 4.  [RECOMMENDATIONS FOR LEGISLATION.] The 
  9.7   legislative coordinating commission shall also recommend to the 
  9.8   legislature the changes in law that it determines are necessary 
  9.9   to accomplish its other recommendations under this section.