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SF1894 (Legislative Session 94 (2025-2026))

Veteran benefit services fees written agreements requirement provision, veterans benefit services providers prohibited from making a guarantee of veterans benefit provision, and Prevention of Consumer Fraud Act remedies provision

Related bill: HF1855

AI Generated Summary

This bill (Senate File No. 1894) proposes amendments to Minnesota Statutes section 197.6091 aimed at increasing protections for veterans and their families who seek assistance with accessing veterans benefits. The key provisions include:

  1. Accreditation Requirement: Any person providing veterans benefits services for compensation must be accredited by the U.S. Department of Veterans Affairs (VA) under Title 38, Chapter 59 of the U.S. Code. This also applies to individuals referring veterans or their families to benefits providers in exchange for compensation.

  2. Fee Regulations: Providers of veterans benefits services may only charge fees as permitted under federal regulations (38 CFR §14.636) and must present clients with a written fee agreement in accordance with these regulations.

  3. Advertising and Disclosure Requirements:

    • Advertisements for veterans benefits appeal services must clearly state that similar services are available for free through county veterans service officers.
    • Providers must present clients with a written disclosure statement explaining their rights and obtain a signed acknowledgment from the client before entering into an agreement or accepting payments.

  4. Prohibition on Guaranteeing Outcomes: Providers may not promise or imply that a veteran or family member is guaranteed to receive a specific type, amount, or percentage of veterans benefits.

  5. Penalties and Enforcement:

    • Violations of the law may result in civil penalties up to $1,000 per violation, with each day of non-compliance counting as a separate violation.
    • The Minnesota Attorney General may initiate enforcement actions and accept settlements in investigations.
    • Violations are considered unlawful under Minnesota consumer protection laws, making offenders subject to further legal remedies.
    • Civil penalties collected will be deposited into the "Support Our Troops" account.

  6. Exemptions: The bill does not apply to owners or personnel of media platforms where advertisements are published or distributed.

The goal of this legislation is to prevent fraudulent or misleading practices targeting veterans seeking benefits while ensuring that service providers meet federal accreditation and ethical standards.

Bill text versions

Actions

DateChamberWhereTypeNameCommittee Name
February 26, 2025HouseFloorActionIntroduction and first reading
February 26, 2025SenateFloorActionIntroduction and first reading
February 26, 2025HouseFloorActionReferred toAgriculture, Veterans, Broadband, and Rural Development
February 26, 2025SenateFloorActionReferred toAgriculture, Veterans, Broadband, and Rural Development
March 16, 2025SenateFloorActionComm report: To pass as amended and re-refer toJudiciary and Public Safety
March 23, 2025SenateFloorActionComm report: To pass as amended and re-refer toAgriculture, Veterans, Broadband, and Rural Development

Citations

 
[
  {
    "analysis": {
      "added": [
        "Clarification of commissioner’s responsibility in disclosure statement development."
      ],
      "removed": [],
      "summary": "The bill references compliance with section 196.05, subdivision 1, regarding written disclosure statements developed by the commissioner of veterans affairs.",
      "modified": [
        "Ensures alignment with federal standards and state requirements."
      ]
    },
    "citation": "196.05",
    "subdivision": "subdivision 1"
  },
  {
    "analysis": {
      "added": [
        "Disclosure requirements in advertising of veterans benefits."
      ],
      "removed": [],
      "summary": "This section ensures veterans are informed about free benefits appeal services offered by county veterans service officers under section 197.603.",
      "modified": [
        "Aligns compensation structures with federal guidelines."
      ]
    },
    "citation": "197.603",
    "subdivision": ""
  },
  {
    "analysis": {
      "added": [
        "Enhances transparency requirements in veteran services offerings."
      ],
      "removed": [],
      "summary": "Section 197.604 is referenced regarding the availability of veterans benefits appeal services at no cost.",
      "modified": [
        "Stipulates exact disclosures necessary in advertising."
      ]
    },
    "citation": "197.604",
    "subdivision": ""
  },
  {
    "analysis": {
      "added": [
        "New civil penalties for non-compliance."
      ],
      "removed": [],
      "summary": "A violation of the provisions set forth in the bill is deemed an unlawful practice under section 325F.69.",
      "modified": [
        "Clarifies implications of non-compliance under consumer fraud laws."
      ]
    },
    "citation": "325F.69",
    "subdivision": ""
  },
  {
    "analysis": {
      "added": [
        "Describes enforcement mechanisms."
      ],
      "removed": [],
      "summary": "Section 325F.70 details the remedies available for violations of the provisions, providing recourse for the attorney general in enforcing compliance.",
      "modified": [
        "Legal remedy sections have been revised for clarity."
      ]
    },
    "citation": "325F.70",
    "subdivision": ""
  },
  {
    "analysis": {
      "added": [
        "Directs fines to veteran support funds."
      ],
      "removed": [],
      "summary": "Penalties recovered under this bill are to be deposited in the Support Our Troops account as established by section 190.19.",
      "modified": []
    },
    "citation": "190.19",
    "subdivision": ""
  }
]

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