HF 2062

as introduced - 86th Legislature (2009 - 2010) Posted on 02/09/2010 01:57am

A bill for an act
relating to poverty; establishing the Ladder Out of Poverty Task Force; providing
for its membership and duties; providing legislative appointments.

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

Section 1. new text begin LADDER OUT OF POVERTY TASK FORCE.
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new text begin Subdivision 1. new text end

new text begin Legislative findings. new text end

new text begin The legislature finds that, for poor or near-poor
Minnesotans who are struggling economically, a key to escaping poverty is building and
maintaining wealth and assets.
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new text begin The legislature also finds that the final report of the Commission to End Poverty
by 2020 sets forth the following strategies regarding the building and maintaining of
wealth and assets:
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new text begin (1) establish public policies to encourage Minnesotans to accumulate and maintain
assets;
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new text begin (2) ban predatory financial practices that erode or deplete existing assets; and
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new text begin (3) increase financial literacy to reduce vulnerability to predatory practices and
enhance the ability to acquire assets and achieve and maintain self-sufficiency.
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new text begin The legislature also finds that the Commission to End Poverty by 2020 recommends,
among the immediate steps that can be taken, that the legislature respond rigorously to
predatory market practices that drive up the prices of goods in some communities and
crowd out sustainable practices of legitimate businesses.
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new text begin The legislature also finds that women, especially older women, are among the poorest
of Minnesotans, are particularly vulnerable to predatory lenders and have accounted for a
larger share of subprime loans, and are particularly vulnerable to financial hardship.
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new text begin The legislature also finds that achieving the goal of ending poverty will require
strong collaboration and coordination among the public, private, nonprofit, academic,
and philanthropic sectors.
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new text begin Subd. 2. new text end

new text begin Task force establishment; duties. new text end

new text begin (a) The Ladder Out of Poverty Task
Force is established to assist the legislature to identify specific actions and policies to
assist Minnesotans to escape or avoid poverty through the accumulation and maintenance
of assets. By January 15, 2010, the task force shall provide recommendations to the
chairs of the senate Commerce and Consumer Protection Committee, the house of
representatives Labor and Consumer Protection Division and the house of representatives
Commerce and Labor Committee.
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new text begin (b) At a minimum, the task force must identify specific policies, strategies, and
actions to:
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new text begin (1) increase opportunities for low-income families to create and build wealth;
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new text begin (2) expand the utilization of Family Assets for Independence in Minnesota (FAIM)
or other culturally specific individual development account programs;
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new text begin (3) reduce or eliminate predatory financial practices in Minnesota through regulatory
actions, legislative enactments, and the development and statewide availability of
alternative, nonpredatory financial products;
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new text begin (4) provide incentives or assistance to private sector financial institutions to
offer additional programs and services that provide alternatives to and education about
predatory financial products; and
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new text begin (5) provide financial literacy information to low-income families and individuals
at the moment the recipient has the ability, opportunity, and motivation to receive,
understand, and act on the information provided.
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new text begin Subd. 3. new text end

new text begin Membership. new text end

new text begin The task force must consist of, at a minimum, the following
members:
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new text begin (1) at least one member each of the majority and minority parties in the senate
appointed by the Subcommittee on Committees of the Committee on Rules and
Administration;
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new text begin (2) at least one member each of the majority and minority parties in the house of
representatives appointed by the speaker of the house;
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new text begin (3) a representative of the Minnesota Department of Commerce;
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new text begin (4) a representative of the Minnesota Office of the Attorney General;
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new text begin (5) a representative of Minnesota credit unions;
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new text begin (6) a representative of an organization representing independent Minnesota
community banks;
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new text begin (7) at least one representative of an organization representing state and federal
financial institutions;
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new text begin (8) at least one representative of an organization representing community action
agencies;
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new text begin (9) at least one representative of a faith-based financial counseling agency;
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new text begin (10) at least two representatives of faith-based social justice organizations;
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new text begin (11) a representative of a legal services organization representing low-income
persons;
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new text begin (12) a representative from a nonprofit organization providing free tax preparation
services as part of the volunteer income tax assistance program;
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new text begin (13) a member of the Univerity of Minnesota faculty who is involved with personal
and family financial education;
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new text begin (14) a member of a philanthropic organization that has as one of its missions
combating predatory lending;
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new text begin (15) a representative of an organization representing older Minnesotans; and
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new text begin (16) one representative each of an organization representing the interests of women,
Latinos and Latinas, African-Americans, Asian-Americans, American Indians, and
immigrants.
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new text begin Subd. 4. new text end

new text begin Task force administrative provisions. new text end

new text begin (a) By August 15, 2009, the
director of the Legislative Coordinating Commission must convene the initial meeting
of the task force. The members of the task force must elect a chair or co-chairs at the
initial meeting.
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new text begin (b) Public members of the task force serve without compensation or payment of
expenses.
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new text begin (c) The task force may accept gifts and grants, which are accepted on behalf of
the state and constitute donations to the state. Funds received under this paragraph are
to be used for purposes of the task force.
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new text begin (d) The task force expires June 1, 2010.
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