1.1 	A bill for an act
1.2 	relating to state government; imposing certain
1.3 	disclosure requirements on nonprofit organizations
1.4 	that receive a grant or a direct appropriation from
1.5 	the state; proposing coding for new law in Minnesota
1.6 	Statutes, chapter 16A.
1.7 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.8 	Section 1. [16A.371] RECIPIENTS OF STATE GRANTS AND
1.9 	APPROPRIATIONS.
1.10 	(a) This section applies to a nonprofit organization that
1.11 	receives a direct appropriation of state funds or that receives
1.12 	a grant of state funds, if during the period covered by the
1.13 	appropriation or grant an officer or employee of the
1.14 	organization will receive a salary from the nonprofit
1.15 	organization or a related organization that exceeds the salary
1.16 	of the governor.  As a condition of receiving the direct
1.17 	appropriation or grant, a nonprofit organization covered by this
1.18 	section must agree that any written solicitation seeking
1.19 	contributions to the organization will include a list of the
1.20 	total compensation of the three highest-paid directors,
1.21 	officers, or employees of the organization and its related
1.22 	organizations.
1.23 	(b) For purposes of this section:
1.24 	(1) "contribution" and "solicitation" have the meanings
1.25 	given in section 309.50;
1.26 	(2) "nonprofit organization" includes a corporation,
2.1 	partnership, limited partnership, limited liability company,
2.2 	joint venture, cooperative, association, or trust, wherever
2.3 	incorporated, organized, or registered, if the organization is
2.4 	organized on a nonprofit basis;
2.5 	(3) "related organization" has the meaning defined in
2.6 	section 317A.011, subdivision 18; and 
2.7 	(4) "total compensation" means salaries, fees, bonuses,
2.8 	fringe benefits, severance payments, and deferred compensation.

2.9 	Sec. 2. EFFECTIVE DATE.
 2.10 	Section 1 is effective July 1, 2005, and applies to grant
2.11 	agreements entered into and to appropriations received after
2.12 	that date.