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SF4551 • 2026

Providers, vendors, and individuals seeking to receive public money for providing services submission of proof of operation and finances for the most recent three years requirement provision

Providers, vendors, and individuals seeking to receive public money for providing services submission of proof of operation and finances for the most recent three years requirement provision

Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor
Utke, Koran, Gustafson, Lieske
Last action
2026-03-26
Official status
Comm report: To pass as amended and re-refer to Human Services
Effective date
Not listed

Plain English Breakdown

The plain English breakdown is still being put together. The official documents below are already here.

Bill History

  1. 2026-03-26 House

    Comm report: To pass as amended and re-refer to Human Services

  2. 2026-03-25 House

    Author added Lieske

  3. 2026-03-23 House

    Author added Gustafson

  4. 2026-03-18 House

    Introduction and first reading

Official Summary Text

Providers, vendors, and individuals seeking to receive public money for providing services submission of proof of operation and finances for the most recent three years requirement provision

Current Bill Text

Read the full stored bill text
A bill for an act

relating to fraud prevention; requiring providers, vendors, and individuals seeking

to receive public money for providing services to submit proof of operation and

finances; proposing coding for new law in Minnesota Statutes, chapters 142A;

245.

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

Section 1.

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[142A.125] ELIGIBILITY TO RECEIVE PUBLIC MONEY; PRE-AWARD

RISK ASSESSMENT.

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Subdivision 1.

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Pre-award risk assessment; grant recipients.

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(a) Prior to receiving a

grant award for a program administered by the commissioner, a potential grantee must

provide the commissioner with the applicable information specified under section 16B.981,

subdivision 2, for the most recent three-year period. This information must also include:

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(1) the potential grantee's history of performing services during the most recent three-year

period that are substantially similar to the services the potential grantee is seeking to receive

public funds to provide; and

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(2) for a potential grantee that is a for-profit business or nonprofit organization, evidence

of registration and good standing with the secretary of state for the most recent three-year

period, if applicable.

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(b) For any information not submitted to the commissioner as required under this section

because the potential grantee determined it to be inapplicable, the potential grantee must

submit documentation noting each item that was not submitted and the reason why the

potential grantee determined it was inapplicable.

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Subd. 2.

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Pre-award risk assessment; licensure and reenrollment.

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(a) Prior to renewing

a license or reenrolling in a program administered by the commissioner, a provider, vendor,

or individual must provide the commissioner with the applicable information specified

under section 16B.981, subdivision 2, for the most recent licensure or enrollment period.

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(b) Notwithstanding paragraph (a), for a provider, vendor, or individual who has been

licensed or enrolled in a program administered by the commissioner for at least three years,

the provider, vendor, or individual must provide the commissioner with the applicable

information specified under section 16B.981, subdivision 2, for the most recent three-year

period.

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(c) For any information not submitted to the commissioner as required under this section

because the provider, vendor, or individual determined it to be inapplicable, the provider,

vendor, or individual must submit documentation noting each item that was not submitted

and the reason why the provider, vendor, or individual determined it was inapplicable.

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Subd. 3.

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Commissioner duties.

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(a) The commissioner must review all information

provided under subdivisions 1 and 2 prior to awarding a grant, renewing a license, or

reenrolling a provider. For any documentation submitted to the commissioner under

subdivision 1, paragraph (b), or subdivision 2, paragraph (c), the commissioner must review

and confirm that the determination of inapplicability made by the potential grantee or the

provider, vendor, or individual is correct. For any incorrect determination, the potential

grantee or the provider, vendor, or individual must submit the required information before

receiving grant funds, renewing a license, or reenrolling in a program.

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(b) Notwithstanding section 16B.981, if, after reviewing the information provided under

subdivision 1, the commissioner has concerns that there is a substantial risk that a potential

grantee cannot or would not perform the required duties under the grant agreement, the

commissioner must not award the grant.

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(c) If, after reviewing the information provided under subdivision 2, the commissioner

has concerns that there is a substantial risk that the provider, vendor, or individual seeking

to renew a license or reenroll in a program administered by the commissioner cannot or

would not perform the necessary duties required under the license or enrollment agreement,

the commissioner must deny the license renewal or reenrollment request.

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Sec. 2.

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[256.0113] ELIGIBILITY TO RECEIVE PUBLIC MONEY; PRE-AWARD

RISK ASSESSMENT.

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Subdivision 1.

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Pre-award risk assessment; grant recipients.

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(a) Prior to receiving a

grant award for a program administered by the commissioner, a potential grantee must

provide the commissioner with the applicable information specified under section 16B.981,

subdivision 2, for the most recent three-year period. This information must also include:

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(1) the potential grantee's history of performing services during the most recent three-year

period that are substantially similar to the services the potential grantee is seeking to receive

public funds to provide; and

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(2) for a potential grantee that is a for-profit business or nonprofit organization, evidence

of registration and good standing with the secretary of state for the most recent three-year

period, if applicable.

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(b) For any information not submitted to the commissioner as required under this section

because the potential grantee determined it to be inapplicable, the potential grantee must

submit documentation noting each item that was not submitted and the reason why the

potential grantee determined it was inapplicable.

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Subd. 2.

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Pre-award risk assessment; licensure.

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(a) Prior to renewing a license for a

program administered by the commissioner, a provider, vendor, or individual must provide

the commissioner with the applicable information specified under section 16B.981,

subdivision 2, for the most recent licensure period.

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(b) Notwithstanding paragraph (a), for a provider, vendor, or individual who has been

licensed in a program administered by the commissioner for at least three years, the provider,

vendor, or individual must provide the commissioner with the applicable information

specified under section 16B.981, subdivision 2, for the most recent three-year period.

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(c) For any information not submitted to the commissioner as required under this section

because the provider, vendor, or individual determined it to be inapplicable, the provider,

vendor, or individual must submit documentation noting each item that was not submitted

and the reason why the provider, vendor, or individual determined it was inapplicable.

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Subd. 3.

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Pre-award risk assessment; reenrollment and revalidation.

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(a) Prior to

reenrollment or revalidation in a program administered by the commissioner, a provider,

vendor, or individual must provide the commissioner with the applicable information

specified under section 16B.981, subdivision 2, for the most recent enrollment period.

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(b) Notwithstanding paragraph (a), for a provider, vendor, or individual who has been

enrolled in a program administered by the commissioner for at least three years, the provider,

vendor, or individual must provide the commissioner with the applicable information

specified under section 16B.981, subdivision 2, for the most recent three-year period.

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(c) For any information not submitted to the commissioner as required under this section

because the provider, vendor, or individual determined it to be inapplicable, the provider,

vendor, or individual must submit documentation noting each item that was not submitted

and the reason why the provider, vendor, or individual determined it was inapplicable.

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Subd. 4.

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Commissioner duties.

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(a) The commissioner must review all information

provided under subdivisions 1 to 3 prior to awarding a grant, renewing a license, or

reenrolling or revalidating a provider, vendor, or individual. For any documentation submitted

to the commissioner under subdivision 1, paragraph (b); subdivision 2, paragraph (c); or

subdivision 3, paragraph (c), the commissioner must review and confirm that the

determination of inapplicability made by the potential grantee or the provider, vendor, or

individual is correct. For any incorrect determination, the potential grantee or the provider,

vendor, or individual must submit the required information prior to receiving grant funds,

renewing a license, reenrollment in a program, or revalidation.

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(b) Notwithstanding section 16B.981, if, after reviewing the information provided under

subdivision 1, the commissioner has concerns that there is a substantial risk that a potential

grantee cannot or would not perform the required duties under the grant agreement, the

commissioner must not award the grant.

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(c) If, after reviewing the information provided under subdivision 2 or 3, the

commissioner has concerns that there is a substantial risk that the provider, vendor, or

individual seeking to renew a license, or applying for reenrollment or revalidation, cannot

or would not perform the necessary duties required under the license or enrollment agreement,

the commissioner must deny the license renewal or terminate the participation of the provider,

vendor, or individual in the program.

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