Change provisions for grants management

A bill for an act

relating to state government; changing provisions for grants management; amending

Minnesota Statutes 2024, sections 16B.97, subdivisions 4, 5; 16B.98, subdivision

11; 16B.991, subdivision 1.

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

Section 1.

Minnesota Statutes 2024, section 16B.97, subdivision 4, is amended to read:

Subd. 4.

Duties.

(a) The commissioner shall:

(1) create general grants management policies and procedures that are applicable to all

executive agencies. The commissioner may approve exceptions to these policies and

procedures
deleted text begin
for particular grant programs
deleted text end
. Exceptions shall expire or be renewed after five

years. Executive agencies shall retain management of individual grants programs;

(2) provide a central point of contact concerning statewide grants management policies

and procedures;

(3) serve as a resource to executive agencies in such areas as training, evaluation,

collaboration, and best practices in grants management;

(4) ensure grants management needs are considered in the development, upgrade, and

use of statewide administrative systems and leverage existing technology wherever possible;

(5) oversee and approve future professional and technical service contracts and other

information technology spending related to executive agency grants management systems

and activities;

(6) provide a central point of contact for comments about executive agencies violating

statewide grants governance policies and about fraud and waste in grants processes;

(7) forward received comments to the appropriate agency for further action, and may

follow up as necessary;

(8) provide a single listing of all available executive agency competitive grant

opportunities and resulting grant recipients;

(9) selectively review development and implementation of executive agency grants,

policies, and practices; and

(10) selectively review executive agency compliance with best practices.

(b) The commissioner may determine that it is cost-effective for agencies to develop

and use shared grants management technology systems. This system would be governed

under section
16E.01, subdivision 3
, paragraph (b).

Sec. 2.

Minnesota Statutes 2024, section 16B.97, subdivision 5, is amended to read:

Subd. 5.

Data classification.

Data maintained by the commissioner that identify a person

providing comments to the commissioner under subdivision 4, paragraph (a), clauses (6)

and (7), are private and nonpublic data
deleted text begin
but may be shared with the executive agency that is

the subject of the comments
deleted text end
.

Sec. 3.

Minnesota Statutes 2024, section 16B.98, subdivision 11, is amended to read:

Subd. 11.

Encumbrance exception.

Notwithstanding subdivision 5, paragraph (a),

clause
deleted text begin
(2)
deleted text end
new text begin
(3)
new text end
, or section
16C.05, subdivision 2
, paragraph (a), clause (3), agencies may

permit a specifically named, legislatively appropriated, noncompetitive grant recipient to

incur eligible expenses based on an agreed upon work plan and budget for up to 60 days

prior to an encumbrance being established in the accounting system.

Sec. 4.

Minnesota Statutes 2024, section 16B.991, subdivision 1, is amended to read:

Subdivision 1.

Criminal conviction.

Each grant agreement subject to sections
16B.97

and
16B.98
must provide that the agreement will immediately be terminated if the recipient

is convicted of a criminal offense relating to a state grant agreement.
new text begin
"Recipient" includes

individuals, entities, and key personnel of entities, including board members, officers,

executives, employees, or agents with authority over or access to grant funds, and any

individual in a position of fiduciary responsibility related to the grant.
new text end