AI Generated Summary
This legislative bill from Minnesota proposes changes to strengthen management and oversight of state grants. The key points include:
Fraud Reporting: State employees must report any suspicion of fraud in their agencies to law enforcement and relevant legislative members immediately.
Organizational Transparency: State agencies are required to prominently display an organizational chart on their websites, detailing key contact information.
Grants Management Improvements: The bill provides guidelines for enhancing grants management by standardizing processes and ensuring consistent practices across state agencies. This includes:
- Establishing centralized policies and a point of contact for statewide grants management.
- Requiring in-person monitoring visits for grants over a certain amount.
- Conducting financial reconciliations before disbursing funds for larger grants.
- Making it mandatory for agencies to comply with these new rules or face a criminal misdemeanor charge for non-compliance.
Grant Agreement Validity: Outlines conditions under which grant agreements are considered valid, such as proper execution, approval by the commissioner, and compliance with financial encumbrance policies.
Audit and Compliance: Grants must include an audit clause ensuring the right to examine financial records related to the grant, and agencies must perform risk assessments before awarding grants to evaluate the potential grantee's ability to complete the grant responsibly.
Criminal Charges Impact: Specifies that grant agreements must be suspended if a recipient is charged with a criminal offense related to the grant, and terminated if convicted.
Overall, the bill aims to enhance transparency, accountability, and effective management of state funds through stricter governance, mandatory reporting, and systematic oversight mechanisms.
Bill text versions
- Introduction PDF file
Actions
Date | Chamber | Where | Type | Name | Committee Name |
---|---|---|---|---|---|
February 06, 2025 | Senate | Floor | Action | Introduction and first reading | |
February 06, 2025 | Senate | Floor | Action | Referred to | State and Local Government |
Senate | Note | Action | See |
Citations
[ { "analysis": { "added": [ "New expectations for executive agencies in grant management and oversight, preventing fraud, and ensuring program accountability." ], "removed": [ "None noted." ], "summary": "This bill modifies the grants governance structure and responsibilities of the commissioner under section 16B.97.", "modified": [ "Clarifies the commissioner's role in grants governance and sets requirements for agency cooperation." ] }, "citation": "16B.97", "subdivision": "subdivision 2" }, { "analysis": { "added": [ "New mandatory monitoring visits for high-value grants." ], "removed": [ "None noted." ], "summary": "The bill modifies duties related to grants management policies and monitoring under section 16B.97.", "modified": [ "Changes in how exceptions to grants management policies are handled and oversight procedures." ] }, "citation": "16B.97", "subdivision": "subdivision 4" }, { "analysis": { "added": [ "Must report any suspicion of violation to multiple parties." ], "removed": [ "Optional reporting, now mandatory." ], "summary": "This section modifies the reporting obligations of state employees on grant violations under section 16B.98.", "modified": [ "The role of the legislative auditor in handling multiple complaints and reporting." ] }, "citation": "16B.98", "subdivision": "subdivision 4" }, { "analysis": { "added": [ "Grant agreements must now include effective dates aligned with specified sections." ], "removed": [ "None noted." ], "summary": "Changes the requirement for the creation and validity of grant agreements under section 16B.98.", "modified": [ "Enhances requirements for the execution and approval of grant agreements and amendments." ] }, "citation": "16B.98", "subdivision": "subdivision 5" }, { "analysis": { "added": [ "Audit clauses and examination possibilities for grantee records made explicit." ], "removed": [ "None noted." ], "summary": "Modifies audit requirements for grant agreements under section 16B.98.", "modified": [ "Clarifies audit authority and the requirement for audit clauses in agreements." ] }, "citation": "16B.98", "subdivision": "subdivision 8" }, { "analysis": { "added": [ "Detailed preaward risk assessment requirements." ], "removed": [ "None noted." ], "summary": "This section changes financial information requirements for potential grantees under section 16B.981.", "modified": [ "Defines financial review requirements based on organizational type and grant size." ] }, "citation": "16B.981", "subdivision": "subdivision 2" }, { "analysis": { "added": [ "Additional information and oversight for first-time and large grants." ], "removed": [ "None noted." ], "summary": "Introduces additional measures for oversight of some grantees under section 16B.981.", "modified": [ "Clarifies enhanced oversight conditions for new or inexperienced grantees." ] }, "citation": "16B.981", "subdivision": "subdivision 3" }, { "analysis": { "added": [ "Immediate termination or suspension of grants if recipient is charged with or convicted of a crime." ], "removed": [ "Previous provisions for less immediate responses to criminal charges." ], "summary": "This modifies the conditions for the termination of grant agreements under section 16B.991.", "modified": [ "Clarifies the actions required upon criminal charges or convictions relating to state grants." ] }, "citation": "16B.991", "subdivision": "subdivision 1" } ]