Bill Text: MN HF2 | 2011-2012 | 87th Legislature | Engrossed
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Performance data added to budget proposal, zero-based budgeting required, and sunset advisory commission and sunset process established for state agencies.
Spectrum: Partisan Bill (Republican 26-1)
Status: (Passed) 2011-07-20 - Secretary of State Chapter 3 [HF2 Detail]
Download: Minnesota-2011-HF2-Engrossed.html
Bill Title: Performance data added to budget proposal, zero-based budgeting required, and sunset advisory commission and sunset process established for state agencies.
Spectrum: Partisan Bill (Republican 26-1)
Status: (Passed) 2011-07-20 - Secretary of State Chapter 3 [HF2 Detail]
Download: Minnesota-2011-HF2-Engrossed.html
1.2relating to state government; requiring zero-based budgeting; establishing a
1.3sunset advisory commission and sunset process for state agencies;amending
1.4Minnesota Statutes 2010, sections 16A.103; 16A.11, subdivision 3; proposing
1.5coding for new law in Minnesota Statutes, chapter 16A; proposing coding for
1.6new law as Minnesota Statutes, chapter 3D; repealing Minnesota Statutes 2010,
1.7section 16A.103, subdivisions 1b, 4.
1.8BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.11 Section 1. Minnesota Statutes 2010, section 16A.103, is amended to read:
1.1216A.103 FORECASTS OF REVENUE AND EXPENDITURES.
1.13 Subdivision 1. State revenue and expenditures. In February and November
1.14each year, the commissioner shall prepare a forecast of state revenue and expenditures.
1.15The November forecast must be delivered to the legislature and governor no later than
1.16the end of the first week of December. The February forecast must be delivered to the
1.17legislature and governor by the end of February. Forecasts must be delivered to the
1.18legislature and governor on the same day. If requested by the Legislative Commission on
1.19Planning and Fiscal Policy, delivery to the legislature must include a presentation to the
1.20commission. The portion of each forecast dealing with state expenditures must forecast
1.21these expenditures only for the remainder of the current biennium.
1.22 Subd. 1a. Forecast parameters. The forecast must assume the continuation of
1.23current laws and reasonable estimates of projected growth in the national and state
1.24economies and affected populations. Revenue must be estimated for all sources provided
1.25for in current law. Expenditures for the remainder of the current biennium must be
2.1estimated for all obligations imposed by law and those projected to occur as a result of
2.2variables outside the control of the legislature. Expenditure estimates must not include an
2.3allowance for inflation.
2.4Subd. 1b. Forecast variable. In determining the amount of state bonding as it
2.5affects debt service, the calculation of investment income, and the other variables to be
2.6included in the expenditure part of the forecast, the commissioner must consult with the
2.7chairs and lead minority members of the senate State Government Finance Committee
2.8and the house of representatives Ways and Means Committee, and legislative fiscal staff.
2.9This consultation must occur at least three weeks before the forecast is to be released. No
2.10later than two weeks prior to the release of the forecast, the commissioner must inform the
2.11chairs and lead minority members of the senate State Government Finance Committee and
2.12the house of representatives Ways and Means Committee, and legislative fiscal staff of
2.13any changes in these variables from the previous forecast.
2.14 Subd. 1c. Expenditure data. State agencies must submit any revisions in
2.15expenditure data for the remainder of the current biennium the commissioner determines
2.16necessary for the forecast to the commissioner at least four weeks prior to the release of
2.17the forecast. The information submitted by state agencies and any modifications to that
2.18information made by the commissioner must be made available to legislative fiscal staff
2.19no later than three weeks prior to the release of the forecast.
2.20 Subd. 1d. Revenue data. On a monthly basis, the commissioner must provide
2.21legislative fiscal staff with an update of the previous month's state revenues no later than
2.2212 days after the end of that month.
2.23 Subd. 1e. Economic information. The commissioner must review economic
2.24information including economic forecasts with legislative fiscal staff no later than two
2.25weeks before the forecast is released. The commissioner must invite the chairs and lead
2.26minority members of the senate Finance Committee and the house of representatives Ways
2.27and Means Committee, and legislative fiscal staff to attend any meetings held with outside
2.28economic advisors. The commissioner must provide legislative fiscal staff with monthly
2.29economic forecast information received from outside sources.
2.30 Subd. 1f. Personal income. In addition, the commissioner shall forecast Minnesota
2.31personal income for each of the years covered by the forecast and include these estimates
2.32in the forecast documents.
2.33 Subd. 1g. Period to be forecast. A forecast prepared during the first fiscal year
2.34of a biennium must cover that biennium and the next biennium. A forecast prepared
2.35during the second fiscal year of a biennium must cover that biennium and the next two
3.1bienniums. However, each forecast must cover expenditures only for the remainder of the
3.2current biennium.
3.3 Subd. 2. Local revenue. In February and November of each year, the commissioner
3.4of revenue shall prepare and deliver to the governor and the legislature forecasts of
3.5revenue to be received by school districts as a group, counties as a group, and the group of
3.6cities and towns that have a population of more than 2,500. The forecasts must assume
3.7the continuation of current laws, projections of valuation changes in real property, and
3.8reasonable estimates of projected growth in the national and state economies and affected
3.9populations. Revenue must be estimated for property taxes, state and federal aids, local
3.10sales taxes, if any, and a single projection for all other revenue for each group of affected
3.11local governmental units.
3.12Subd. 4. Report on expenditure increases. By January 10 of an odd-numbered
3.13year, the commissioner of management and budget must report on those programs or
3.14components of programs for which expenditures for the next biennium according to the
3.15forecast issued the previous November are projected to increase more than 15 percent over
3.16the expenditures for that program in the current biennium. The report must include an
3.17analysis of the factors that are causing the increases in expenditures.
3.18 Sec. 2. [16A.106] ZERO-BASED BUDGETING.
3.19(a) The proposed budget of each state agency and each entity in the legislative
3.20branch and judicial branch must be prepared in a manner such that the base budget of the
3.21agency or entity is assumed to be zero, and each proposed expenditure must be justified
3.22as if it were a new expenditure.
3.23(b) The commissioner's budget preparation rules and instructions must contain
3.24requirements, deadlines, and technical assistance to facilitate implementation of this
3.25section. The instructions may establish parameters for the three alternative funding levels
3.26required in clause (3). The instructions must require each executive agency to submit the
3.27following information to the commissioner, and must also be contained in the detailed
3.28budget presented to the legislature:
3.29(1) a description of each activity for which the agency or entity receives an
3.30appropriation in the current biennium or for which the agency or entity requests an
3.31appropriation in the next biennium;
3.32(2) the legal basis for each activity;
3.33(3) for each activity, three alternative funding levels, and a summary of the priorities
3.34that would be accomplished within each level, and the additional increments of value that
3.35would be added by the higher funding levels; and
4.1(4) for each activity, one or more measures of cost efficiency and effectiveness of
4.2program delivery, which must include comparisons to other states or entities with similar
4.3programs.
4.4 Sec. 3. Minnesota Statutes 2010, section 16A.11, subdivision 3, is amended to read:
4.5 Subd. 3. Part two: detailed budget. (a) Part two of the budget, the detailed budget
4.6estimates both of expenditures and revenues, must contain any statements on the financial
4.7plan which the governor believes desirable or which may be required by the legislature.
4.8The detailed estimates shall include the governor's budget arranged in tabular form.
4.9(b) Tables listing expenditures for the next biennium must show the appropriation
4.10base for each year. The appropriation base is the amount appropriated for the second year
4.11of the current biennium. The tables must separately show any adjustments to the base
4.12required by current law or policies of the commissioner of management and budget. For
4.13forecasted programs, the tables must also show the amount of the forecast adjustments,
4.14based on the most recent forecast prepared by the commissioner of management and
4.15budget under section
16A.103. For all programs, the tables must show the amount of
4.16appropriation changes recommended by the governor, after adjustments to the base and
4.17forecast adjustments, and the total recommendation of the governor for that year.
4.18(c) (b) The detailed estimates must include a separate line listing the total cost of
4.19professional and technical service contracts for the prior biennium and the projected costs
4.20of those contracts for the current and upcoming biennium. They must also include a
4.21summary of the personnel employed by the agency, reflected as full-time equivalent
4.22positions.
4.23(d) (c) The detailed estimates for internal service funds must include the number of
4.24full-time equivalents by program; detail on any loans from the general fund, including
4.25dollar amounts by program; proposed investments in technology or equipment of $100,000
4.26or more; an explanation of any operating losses or increases in retained earnings; and a
4.27history of the rates that have been charged, with an explanation of any rate changes and
4.28the impact of the rate changes on affected agencies.
4.29 Sec. 4. IMPLEMENTATION.
4.30The principles of zero-based budgeting required by Minnesota Statutes, section
4.3116A.106, must be implemented for approximately one-half of the executive branch
4.32agencies for the biennium beginning July 1, 2011, and for the remaining agencies for the
4.33biennium beginning July 1, 2013. The governor must designate which agencies are in
4.34each category. For agencies subject to zero-based budgeting for the biennium beginning
5.1July 1, 2011, agencies must submit supplemental budget materials, in compliance with
5.2Minnesota statutes, section 16A.106, as soon as possible after enactment of this act.
5.3 Sec. 5. REPEALER.
5.4Minnesota Statutes 2010, section 16A.103, subdivisions 1b and 4, are repealed.
5.5 Sec. 6. EFFECTIVE DATE.
5.6Sections 1 to 5 are effective the day following final enactment.
5.9 Section 1. [3D.01] SHORT TITLE.
5.10This chapter may be cited as the "Minnesota Sunset Act."
5.11 Sec. 2. [3D.02] DEFINITIONS.
5.12 Subdivision 1. Scope. The definitions in this section apply to this chapter.
5.13 Subd. 2. Advisory committee. "Advisory committee" means a committee, council,
5.14commission, or other entity created under state law whose primary function is to advise
5.15a state agency.
5.16 Subd. 3. Commission. "Commission" means the Sunset Advisory Commission.
5.17 Subd. 4. State agency. "State agency" means an agency expressly made subject
5.18to this chapter.
5.19 Sec. 3. [3D.03] SUNSET ADVISORY COMMISSION.
5.20 Subdivision 1. Membership. The Sunset Advisory Commission consists of 12
5.21members appointed as follows:
5.22(1) five senators and one public member, appointed according to the rules of the
5.23senate, with no more than three senators from the majority caucus; and
5.24(2) five members of the house of representatives and one public member, appointed
5.25by the speaker of the house, with no more than three of the house members from the
5.26majority caucus.
5.27 Subd. 2. Public member restrictions. An individual is not eligible for appointment
5.28as a public member if the individual or the individual's spouse is:
5.29(1) regulated by a state agency that the commission will review during the term for
5.30which the individual would serve;
6.1(2) employed by, participates in the management of, or directly or indirectly has
6.2more than a ten percent interest in a business entity or other organization regulated by a
6.3state agency the commission will review during the term for which the individual would
6.4serve; or
6.5(3) required to register as a lobbyist under chapter 10A because of the person's
6.6activities for compensation on behalf of a profession or entity related to the operation of
6.7an agency under review.
6.8 Subd. 3. Removal. (a) It is a ground for removal of a public member from the
6.9commission if the member does not have the qualifications required by subdivision 2
6.10for appointment to the commission at the time of appointment or does not maintain the
6.11qualifications while serving on the commission. The validity of the commission's action is
6.12not affected by the fact that it was taken when a ground for removal of a public member
6.13from the commission existed.
6.14(b) Except as provided in paragraph (a), a public member may be removed only as
6.15provided in section 15.0575, subdivision 4.
6.16 Subd. 4. Terms. Legislative members serve at the pleasure of the appointing
6.17authority. Public members serve two-year terms expiring the first Monday in January of
6.18each odd-numbered year.
6.19 Subd. 5. Limits. Members are subject to the following restrictions:
6.20(1) after an individual serves four years on the commission, the individual is not
6.21eligible for appointment to another term or part of a term;
6.22(2) a legislative member who serves a full term may not be appointed to an
6.23immediately succeeding term; and
6.24(3) a public member may not serve consecutive terms, and, for purposes of this
6.25prohibition, a member is considered to have served a term only if the member has served
6.26more than one-half of the term.
6.27 Subd. 6. Appointments. Appointments must be made before the first Monday of
6.28January of each odd-numbered year.
6.29 Subd. 7. Legislative members. If a legislative member ceases to be a member
6.30of the legislative body from which the member was appointed, the member vacates
6.31membership on the commission.
6.32 Subd. 8. Vacancies. If a vacancy occurs, the appointing authority shall appoint a
6.33person to serve for the remainder of the unexpired term in the same manner as the original
6.34appointment.
6.35 Subd. 9. Officers. The commission shall have a chair and vice-chair as presiding
6.36officers.
7.1 Subd. 10. Quorum; voting. Seven members of the commission constitute a
7.2quorum. A final action or recommendation may not be made unless approved by a
7.3recorded vote of at least seven members. All other actions by the commission shall be
7.4decided by a majority of the members present and voting.
7.5 Subd. 11. Compensation. Each public member shall be reimbursed for expenses
7.6as provided in section 15.0575. Compensation for legislators is as determined by the
7.7members' legislative chamber.
7.8 Sec. 4. [3D.04] STAFF.
7.9The Legislative Coordinating Commission shall provide staff and administrative
7.10services for the commission.
7.11 Sec. 5. [3D.05] RULES.
7.12The commission may adopt rules necessary to carry out this chapter.
7.13 Sec. 6. [3D.06] AGENCY REPORT TO COMMISSION.
7.14Before September 1 of the odd-numbered year before the year in which a state
7.15agency is sunset, the agency commissioner shall report to the commission:
7.16(1) information regarding the application to the agency of the criteria in section
7.173D.10;
7.18(2) a priority-based budget for the agency;
7.19(3) an inventory of all boards, commissions, committees, and other entities related
7.20to the agency; and
7.21(4) any other information that the agency commissioner considers appropriate or that
7.22is requested by the commission.
7.23 Sec. 7. [3D.07] COMMISSION DUTIES.
7.24Before January 1 of the year in which a state agency subject to this chapter and its
7.25advisory committees are sunset, the commission shall:
7.26(1) review and take action necessary to verify the reports submitted by the agency;
7.27and
7.28(2) conduct a review of the agency based on the criteria provided in section 3D.10
7.29and prepare a written report.
7.30 Sec. 8. [3D.08] PUBLIC HEARINGS.
8.1Before February 1 of the year a state agency subject to this chapter and its advisory
8.2committees are sunset, the commission shall conduct public hearings concerning but not
8.3limited to the application to the agency of the criteria provided in section 3D.10.
8.4 Sec. 9. [3D.09] COMMISSION REPORT.
8.5By February 1 of each even-numbered year, the commission shall present to the
8.6legislature and the governor a report on the agencies and advisory committees reviewed.
8.7In the report the commission shall include:
8.8(1) its findings regarding the criteria prescribed by section 3D.10;
8.9(2) its recommendations based on the matters prescribed by section 3D.11; and
8.10(3) other information the commission considers necessary for a complete review
8.11of the agency.
8.12 Sec. 10. [3D.10] CRITERIA FOR REVIEW.
8.13The commission and its staff shall consider the following criteria in determining
8.14whether a public need exists for the continuation of a state agency or its advisory
8.15committees or for the performance of the functions of the agency or its advisory
8.16committees:
8.17(1) the efficiency and effectiveness with which the agency or the advisory committee
8.18operates;
8.19(2) an identification of the mission, goals, and objectives intended for the agency or
8.20advisory committee and of the problem or need that the agency or advisory committee
8.21was intended to address and the extent to which the mission, goals, and objectives have
8.22been achieved and the problem or need has been addressed;
8.23(3) an identification of any activities of the agency in addition to those granted by
8.24statute and of the authority for those activities and the extent to which those activities
8.25are needed;
8.26(4) an assessment of authority of the agency relating to fees, inspections,
8.27enforcement, and penalties;
8.28(5) whether less restrictive or alternative methods of performing any function that
8.29the agency performs could adequately protect or provide service to the public;
8.30(6) the extent to which the jurisdiction of the agency and the programs administered
8.31by the agency overlap or duplicate those of other agencies, the extent to which the agency
8.32coordinates with those agencies, and the extent to which the programs administered by the
8.33agency can be consolidated with the programs of other state agencies;
9.1(7) the promptness and effectiveness with which the agency addresses complaints
9.2concerning entities or other persons affected by the agency, including an assessment of the
9.3agency's administrative hearings process;
9.4(8) an assessment of the agency's rulemaking process and the extent to which the
9.5agency has encouraged participation by the public in making its rules and decisions and
9.6the extent to which the public participation has resulted in rules that benefit the public;
9.7(9) the extent to which the agency has complied with federal and state laws and
9.8applicable rules regarding equality of employment opportunity and the rights and privacy
9.9of individuals, and state law and applicable rules of any state agency regarding purchasing
9.10guidelines and programs for historically underutilized businesses;
9.11(10) the extent to which the agency issues and enforces rules relating to potential
9.12conflicts of interest of its employees;
9.13(11) the extent to which the agency complies with chapter 13 and follows records
9.14management practices that enable the agency to respond efficiently to requests for public
9.15information; and
9.16(12) the effect of federal intervention or loss of federal funds if the agency is
9.17abolished.
9.18 Sec. 11. [3D.11] RECOMMENDATIONS.
9.19(a) In its report on a state agency, the commission shall:
9.20(1) make recommendations on the abolition, continuation, or reorganization of each
9.21affected state agency and its advisory committees and on the need for the performance of
9.22the functions of the agency and its advisory committees;
9.23(2) make recommendations on the consolidation, transfer, or reorganization of
9.24programs within state agencies not under review when the programs duplicate functions
9.25performed in agencies under review; and
9.26(3) make recommendations to improve the operations of the agency, its policy body,
9.27and its advisory committees, including management recommendations that do not require
9.28a change in the agency's enabling statute.
9.29(b) The commission shall include the estimated fiscal impact of its recommendations
9.30and may recommend appropriation levels for certain programs to improve the operations
9.31of the state agency.
9.32(c) The commission shall have drafts of legislation prepared to carry out the
9.33commission's recommendations under this section, including legislation necessary
9.34to continue the existence of agencies that would otherwise sunset if the commission
9.35recommends continuation of an agency.
10.1(d) After the legislature acts on the report under section 3D.09, the commission shall
10.2present to the legislative auditor the commission's recommendations that do not require
10.3a statutory change to be put into effect. Subject to the legislative audit commission's
10.4approval, the legislative auditor may examine the recommendations and include as part
10.5of the next audit of the agency a report on whether the agency has implemented the
10.6recommendations and, if so, in what manner.
10.7 Sec. 12. [3D.12] MONITORING OF RECOMMENDATIONS.
10.8During each legislative session, the staff of the commission shall monitor legislation
10.9affecting agencies that have undergone sunset review and shall periodically report
10.10to the members of the commission on proposed changes that would modify prior
10.11recommendations of the commission.
10.12 Sec. 13. [3D.13] REVIEW OF ADVISORY COMMITTEES.
10.13An advisory committee, the primary function of which is to advise a particular state
10.14agency, is subject to sunset on the date set for sunset of the agency unless the advisory
10.15committee is expressly continued by law.
10.16 Sec. 14. [3D.14] CONTINUATION BY LAW.
10.17During the regular session immediately before the sunset of a state agency or an
10.18advisory committee that is subject to this chapter, the legislature may enact legislation
10.19to continue the agency or advisory committee for a period not to exceed 12 years. This
10.20chapter does not prohibit the legislature from:
10.21(1) terminating a state agency or advisory committee subject to this chapter at a date
10.22earlier than that provided in this chapter; or
10.23(2) considering any other legislation relative to a state agency or advisory committee
10.24subject to this chapter.
10.25 Sec. 15. [3D.15] PROCEDURE AFTER TERMINATION.
10.26 Subdivision 1. Termination. Unless otherwise provided by law:
10.27(1) if after sunset review a state agency is abolished, the agency may continue in
10.28existence until June 30 of the following year to conclude its business;
10.29(2) abolishment does not reduce or otherwise limit the powers and authority of the
10.30state agency during the concluding year;
10.31(3) a state agency is terminated and shall cease all activities at the expiration of
10.32the one-year period; and
11.1(4) all rules that have been adopted by the state agency expire at the expiration of
11.2the one-year period.
11.3 Subd. 2. Funds of abolished agency or advisory committee. (a) Any unobligated
11.4and unexpended appropriations of an abolished agency or advisory committee lapse on
11.5June 30 of the year after abolishment.
11.6(b) Except as provided by subdivision 4 or as otherwise provided by law, all money
11.7in a dedicated fund of an abolished state agency or advisory committee on June 30 of the
11.8year after abolishment is transferred to the general fund. The part of the law dedicating
11.9the money to a specific fund of an abolished agency becomes void on June 30 of the year
11.10after abolishment.
11.11 Subd. 3. Property and records of abolished agency or advisory committee.
11.12Unless the governor designates an appropriate state agency as prescribed by subdivision 4,
11.13property and records in the custody of an abolished state agency or advisory committee
11.14on June 30 of the year after abolishment must be transferred to the commissioner of
11.15administration. If the governor designates an appropriate state agency, the property and
11.16records must be transferred to the designated state agency.
11.17 Subd. 4. Continuing obligations. (a) The legislature recognizes the state's
11.18continuing obligation to pay bonded indebtedness and all other obligations, including
11.19lease, contract, and other written obligations, incurred by a state agency or advisory
11.20committee abolished under this chapter, and this chapter does not impair or impede the
11.21payment of bonded indebtedness and all other obligations, including lease, contract, and
11.22other written obligations, in accordance with their terms. If an abolished state agency or
11.23advisory committee has outstanding bonded indebtedness or other outstanding obligations,
11.24including lease, contract, and other written obligations, the bonds and all other obligations,
11.25including lease, contract, and other written obligations, remain valid and enforceable in
11.26accordance with their terms and subject to all applicable terms and conditions of the laws
11.27and proceedings authorizing the bonds and all other obligations, including lease, contract,
11.28and other written obligations.
11.29(b) The governor shall designate an appropriate state agency that shall continue to
11.30carry out all covenants contained in the bonds and in all other obligations, including lease,
11.31contract, and other written obligations, and the proceedings authorizing them, including
11.32the issuance of bonds, and the performance of all other obligations, including lease,
11.33contract, and other written obligations, to complete the construction of projects or the
11.34performance of other obligations, including lease, contract, and other written obligations.
11.35(c) The designated state agency shall provide payment from the sources of payment
11.36of the bonds in accordance with the terms of the bonds and shall provide payment from
12.1the sources of payment of all other obligations, including lease, contract, and other written
12.2obligations, in accordance with their terms, whether from taxes, revenues, or otherwise,
12.3until the bonds and interest on the bonds are paid in full and all other obligations,
12.4including lease, contract, and other written obligations, are performed and paid in full.
12.5If the proceedings so provide, all funds established by laws or proceedings authorizing
12.6the bonds or authorizing other obligations, including lease, contract, and other written
12.7obligations, must remain with the comptroller or the previously designated trustees. If the
12.8proceedings do not provide that the funds remain with the comptroller or the previously
12.9designated trustees, the funds must be transferred to the designated state agency.
12.10 Sec. 16. [3D.16] ASSISTANCE OF AND ACCESS TO STATE AGENCIES.
12.11The commission may request the assistance of state agencies and officers. When
12.12assistance is requested, a state agency or officer shall assist the commission. In carrying
12.13out its functions under this chapter, the commission or its designated staff member may
12.14inspect the records, documents, and files of any state agency.
12.15 Sec. 17. [3D.17] RELOCATION OF EMPLOYEES.
12.16If an employee is displaced because a state agency or its advisory committee is
12.17abolished or reorganized, the state agency shall make a reasonable effort to relocate the
12.18displaced employee.
12.19 Sec. 18. [3D.18] SAVING PROVISION.
12.20Except as otherwise expressly provided, abolition of a state agency does not affect
12.21rights and duties that matured, penalties that were incurred, civil or criminal liabilities that
12.22arose, or proceedings that were begun before the effective date of the abolition.
12.23 Sec. 19. [3D.19] REVIEW OF PROPOSED LEGISLATION CREATING AN
12.24AGENCY.
12.25Each bill filed in a house of the legislature that would create a new state agency or
12.26a new advisory committee to a state agency shall be reviewed by the commission. The
12.27commission shall review the bill to determine if:
12.28(1) the proposed functions of the agency or committee could be administered by one
12.29or more existing state agencies or advisory committees;
12.30(2) the form of regulation, if any, proposed by the bill is the least restrictive form of
12.31regulation that will adequately protect the public;
13.1(3) the bill provides for adequate public input regarding any regulatory function
13.2proposed by the bill; and
13.3(4) the bill provides for adequate protection against conflicts of interest within
13.4the agency or committee.
13.5 Sec. 20. [3D.20] GIFTS AND GRANTS.
13.6The commission may accept gifts, grants, and donations from any organization
13.7described in section 501(c)(3) of the Internal Revenue Code for the purpose of funding
13.8any activity under this chapter. All gifts, grants, and donations must be accepted in an
13.9open meeting by a majority of the voting members of the commission and reported in the
13.10public record of the commission with the name of the donor and purpose of the gift, grant,
13.11or donation. Money received under this section is appropriated to the commission.
13.12 Sec. 21. [3D.21] EXPIRATION.
13.13 Subdivision 1. Group 1. The following agencies are sunset and expire on June
13.1430, 2012: Department of Health, Department of Human Rights, Department of Human
13.15Services, all health-related licensing boards listed in section 214.01, Council on Affairs
13.16of Chicano/Latino People, Council on Black Minnesotans, Council on Asian-Pacific
13.17Minnesotans, Indian Affairs Council, Council on Disabilities, and all advisory groups
13.18associated with these agencies.
13.19 Subd. 2. Group 2. The following agencies are sunset and expire on June 30, 2014:
13.20Department of Education, Board of Teaching, Minnesota Office of Higher Education, and
13.21all advisory groups associated with these agencies.
13.22 Subd. 3. Group 3. The following agencies are sunset and expire on June 30, 2016:
13.23Department of Commerce, Department of Employment and Economic Development,
13.24Department of Labor and Industry, all non-health-related licensing boards listed in
13.25section 214.01 except as otherwise provided in this section, Explore Minnesota Tourism,
13.26Public Utilities Commission, Iron Range Resources and Rehabilitation Board, Bureau of
13.27Mediation Services, Combative Sports Commission, Amateur Sports Commission, and all
13.28advisory groups associated with these agencies.
13.29 Subd. 4. Group 4. The following agencies are sunset and expire on June 30, 2018:
13.30Department of Corrections, Department of Public Safety, Department of Transportation,
13.31Peace Officer Standards and Training Board, Corrections Ombudsman, and all advisory
13.32groups associated with these agencies.
13.33 Subd. 5. Group 5. The following agencies are sunset and expire on June 30, 2020:
13.34Department of Agriculture, Department of Natural Resources, Pollution Control Agency,
14.1Board of Animal Health, Board of Water and Soil Resources, and all advisory groups
14.2associated with these agencies.
14.3 Subd. 6. Group 6. The following agencies are sunset and expire on June 30, 2022:
14.4Department of Administration, Department of Management and Budget, Department of
14.5Military Affairs, Department of Revenue, Department of Veterans Affairs, Arts Board,
14.6Minnesota Zoo, Office of Administrative Hearings, Campaign Finance and Public
14.7Disclosure Board, Capitol Area Architectural and Planning Board, Office of Enterprise
14.8Technology, Minnesota Racing Commission, and all advisory groups associated with
14.9these agencies.
14.10 Subd. 7. Continuation. Following sunset review of an agency, the legislature may
14.11act within the same legislative session in which the sunset report was received on Sunset
14.12Advisory Commission recommendations to continue or reorganize the agency.
14.13 Subd. 8. Other groups. The commission may review, under the criteria in
14.14section 3D.10, and propose to the legislature an expiration date for any agency, board,
14.15commission, or program not listed in this section.
1.3sunset advisory commission and sunset process for state agencies;amending
1.4Minnesota Statutes 2010, sections 16A.103; 16A.11, subdivision 3; proposing
1.5coding for new law in Minnesota Statutes, chapter 16A; proposing coding for
1.6new law as Minnesota Statutes, chapter 3D; repealing Minnesota Statutes 2010,
1.7section 16A.103, subdivisions 1b, 4.
1.8BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.11 Section 1. Minnesota Statutes 2010, section 16A.103, is amended to read:
1.1216A.103 FORECASTS OF REVENUE AND EXPENDITURES.
1.13 Subdivision 1. State revenue and expenditures. In February and November
1.14each year, the commissioner shall prepare a forecast of state revenue and expenditures.
1.15The November forecast must be delivered to the legislature and governor no later than
1.16the end of the first week of December. The February forecast must be delivered to the
1.17legislature and governor by the end of February. Forecasts must be delivered to the
1.18legislature and governor on the same day. If requested by the Legislative Commission on
1.19Planning and Fiscal Policy, delivery to the legislature must include a presentation to the
1.20commission. The portion of each forecast dealing with state expenditures must forecast
1.21these expenditures only for the remainder of the current biennium.
1.22 Subd. 1a. Forecast parameters. The forecast must assume the continuation of
1.23current laws and reasonable estimates of projected growth in the national and state
1.24economies and affected populations. Revenue must be estimated for all sources provided
1.25for in current law. Expenditures for the remainder of the current biennium must be
2.1estimated for all obligations imposed by law and those projected to occur as a result of
2.2variables outside the control of the legislature. Expenditure estimates must not include an
2.3allowance for inflation.
2.4
2.5
2.6
2.7
2.8
2.9
2.10
2.11
2.12
2.13
2.14 Subd. 1c. Expenditure data. State agencies must submit any revisions in
2.15expenditure data for the remainder of the current biennium the commissioner determines
2.16necessary for the forecast to the commissioner at least four weeks prior to the release of
2.17the forecast. The information submitted by state agencies and any modifications to that
2.18information made by the commissioner must be made available to legislative fiscal staff
2.19no later than three weeks prior to the release of the forecast.
2.20 Subd. 1d. Revenue data. On a monthly basis, the commissioner must provide
2.21legislative fiscal staff with an update of the previous month's state revenues no later than
2.2212 days after the end of that month.
2.23 Subd. 1e. Economic information. The commissioner must review economic
2.24information including economic forecasts with legislative fiscal staff no later than two
2.25weeks before the forecast is released. The commissioner must invite the chairs and lead
2.26minority members of the senate Finance Committee and the house of representatives Ways
2.27and Means Committee, and legislative fiscal staff to attend any meetings held with outside
2.28economic advisors. The commissioner must provide legislative fiscal staff with monthly
2.29economic forecast information received from outside sources.
2.30 Subd. 1f. Personal income. In addition, the commissioner shall forecast Minnesota
2.31personal income for each of the years covered by the forecast and include these estimates
2.32in the forecast documents.
2.33 Subd. 1g. Period to be forecast. A forecast prepared during the first fiscal year
2.34of a biennium must cover that biennium and the next biennium. A forecast prepared
2.35during the second fiscal year of a biennium must cover that biennium and the next two
3.1bienniums. However, each forecast must cover expenditures only for the remainder of the
3.2current biennium.
3.3 Subd. 2. Local revenue. In February and November of each year, the commissioner
3.4of revenue shall prepare and deliver to the governor and the legislature forecasts of
3.5revenue to be received by school districts as a group, counties as a group, and the group of
3.6cities and towns that have a population of more than 2,500. The forecasts must assume
3.7the continuation of current laws, projections of valuation changes in real property, and
3.8reasonable estimates of projected growth in the national and state economies and affected
3.9populations. Revenue must be estimated for property taxes, state and federal aids, local
3.10sales taxes, if any, and a single projection for all other revenue for each group of affected
3.11local governmental units.
3.12
3.13
3.14
3.15
3.16
3.17
3.18 Sec. 2. [16A.106] ZERO-BASED BUDGETING.
3.19(a) The proposed budget of each state agency and each entity in the legislative
3.20branch and judicial branch must be prepared in a manner such that the base budget of the
3.21agency or entity is assumed to be zero, and each proposed expenditure must be justified
3.22as if it were a new expenditure.
3.23(b) The commissioner's budget preparation rules and instructions must contain
3.24requirements, deadlines, and technical assistance to facilitate implementation of this
3.25section. The instructions may establish parameters for the three alternative funding levels
3.26required in clause (3). The instructions must require each executive agency to submit the
3.27following information to the commissioner, and must also be contained in the detailed
3.28budget presented to the legislature:
3.29(1) a description of each activity for which the agency or entity receives an
3.30appropriation in the current biennium or for which the agency or entity requests an
3.31appropriation in the next biennium;
3.32(2) the legal basis for each activity;
3.33(3) for each activity, three alternative funding levels, and a summary of the priorities
3.34that would be accomplished within each level, and the additional increments of value that
3.35would be added by the higher funding levels; and
4.1(4) for each activity, one or more measures of cost efficiency and effectiveness of
4.2program delivery, which must include comparisons to other states or entities with similar
4.3programs.
4.4 Sec. 3. Minnesota Statutes 2010, section 16A.11, subdivision 3, is amended to read:
4.5 Subd. 3. Part two: detailed budget. (a) Part two of the budget, the detailed budget
4.6estimates both of expenditures and revenues, must contain any statements on the financial
4.7plan which the governor believes desirable or which may be required by the legislature.
4.8The detailed estimates shall include the governor's budget arranged in tabular form.
4.9
4.10
4.11
4.12
4.13
4.14
4.15
4.16
4.17
4.18
4.19professional and technical service contracts for the prior biennium and the projected costs
4.20of those contracts for the current and upcoming biennium. They must also include a
4.21summary of the personnel employed by the agency, reflected as full-time equivalent
4.22positions.
4.23
4.24full-time equivalents by program; detail on any loans from the general fund, including
4.25dollar amounts by program; proposed investments in technology or equipment of $100,000
4.26or more; an explanation of any operating losses or increases in retained earnings; and a
4.27history of the rates that have been charged, with an explanation of any rate changes and
4.28the impact of the rate changes on affected agencies.
4.29 Sec. 4. IMPLEMENTATION.
4.30The principles of zero-based budgeting required by Minnesota Statutes, section
4.3116A.106, must be implemented for approximately one-half of the executive branch
4.32agencies for the biennium beginning July 1, 2011, and for the remaining agencies for the
4.33biennium beginning July 1, 2013. The governor must designate which agencies are in
4.34each category. For agencies subject to zero-based budgeting for the biennium beginning
5.1July 1, 2011, agencies must submit supplemental budget materials, in compliance with
5.2Minnesota statutes, section 16A.106, as soon as possible after enactment of this act.
5.3 Sec. 5. REPEALER.
5.4Minnesota Statutes 2010, section 16A.103, subdivisions 1b and 4, are repealed.
5.5 Sec. 6. EFFECTIVE DATE.
5.6Sections 1 to 5 are effective the day following final enactment.
5.9 Section 1. [3D.01] SHORT TITLE.
5.10This chapter may be cited as the "Minnesota Sunset Act."
5.11 Sec. 2. [3D.02] DEFINITIONS.
5.12 Subdivision 1. Scope. The definitions in this section apply to this chapter.
5.13 Subd. 2. Advisory committee. "Advisory committee" means a committee, council,
5.14commission, or other entity created under state law whose primary function is to advise
5.15a state agency.
5.16 Subd. 3. Commission. "Commission" means the Sunset Advisory Commission.
5.17 Subd. 4. State agency. "State agency" means an agency expressly made subject
5.18to this chapter.
5.19 Sec. 3. [3D.03] SUNSET ADVISORY COMMISSION.
5.20 Subdivision 1. Membership. The Sunset Advisory Commission consists of 12
5.21members appointed as follows:
5.22(1) five senators and one public member, appointed according to the rules of the
5.23senate, with no more than three senators from the majority caucus; and
5.24(2) five members of the house of representatives and one public member, appointed
5.25by the speaker of the house, with no more than three of the house members from the
5.26majority caucus.
5.27 Subd. 2. Public member restrictions. An individual is not eligible for appointment
5.28as a public member if the individual or the individual's spouse is:
5.29(1) regulated by a state agency that the commission will review during the term for
5.30which the individual would serve;
6.1(2) employed by, participates in the management of, or directly or indirectly has
6.2more than a ten percent interest in a business entity or other organization regulated by a
6.3state agency the commission will review during the term for which the individual would
6.4serve; or
6.5(3) required to register as a lobbyist under chapter 10A because of the person's
6.6activities for compensation on behalf of a profession or entity related to the operation of
6.7an agency under review.
6.8 Subd. 3. Removal. (a) It is a ground for removal of a public member from the
6.9commission if the member does not have the qualifications required by subdivision 2
6.10for appointment to the commission at the time of appointment or does not maintain the
6.11qualifications while serving on the commission. The validity of the commission's action is
6.12not affected by the fact that it was taken when a ground for removal of a public member
6.13from the commission existed.
6.14(b) Except as provided in paragraph (a), a public member may be removed only as
6.15provided in section 15.0575, subdivision 4.
6.16 Subd. 4. Terms. Legislative members serve at the pleasure of the appointing
6.17authority. Public members serve two-year terms expiring the first Monday in January of
6.18each odd-numbered year.
6.19 Subd. 5. Limits. Members are subject to the following restrictions:
6.20(1) after an individual serves four years on the commission, the individual is not
6.21eligible for appointment to another term or part of a term;
6.22(2) a legislative member who serves a full term may not be appointed to an
6.23immediately succeeding term; and
6.24(3) a public member may not serve consecutive terms, and, for purposes of this
6.25prohibition, a member is considered to have served a term only if the member has served
6.26more than one-half of the term.
6.27 Subd. 6. Appointments. Appointments must be made before the first Monday of
6.28January of each odd-numbered year.
6.29 Subd. 7. Legislative members. If a legislative member ceases to be a member
6.30of the legislative body from which the member was appointed, the member vacates
6.31membership on the commission.
6.32 Subd. 8. Vacancies. If a vacancy occurs, the appointing authority shall appoint a
6.33person to serve for the remainder of the unexpired term in the same manner as the original
6.34appointment.
6.35 Subd. 9. Officers. The commission shall have a chair and vice-chair as presiding
6.36officers.
7.1 Subd. 10. Quorum; voting. Seven members of the commission constitute a
7.2quorum. A final action or recommendation may not be made unless approved by a
7.3recorded vote of at least seven members. All other actions by the commission shall be
7.4decided by a majority of the members present and voting.
7.5 Subd. 11. Compensation. Each public member shall be reimbursed for expenses
7.6as provided in section 15.0575. Compensation for legislators is as determined by the
7.7members' legislative chamber.
7.8 Sec. 4. [3D.04] STAFF.
7.9The Legislative Coordinating Commission shall provide staff and administrative
7.10services for the commission.
7.11 Sec. 5. [3D.05] RULES.
7.12The commission may adopt rules necessary to carry out this chapter.
7.13 Sec. 6. [3D.06] AGENCY REPORT TO COMMISSION.
7.14Before September 1 of the odd-numbered year before the year in which a state
7.15agency is sunset, the agency commissioner shall report to the commission:
7.16(1) information regarding the application to the agency of the criteria in section
7.173D.10;
7.18(2) a priority-based budget for the agency;
7.19(3) an inventory of all boards, commissions, committees, and other entities related
7.20to the agency; and
7.21(4) any other information that the agency commissioner considers appropriate or that
7.22is requested by the commission.
7.23 Sec. 7. [3D.07] COMMISSION DUTIES.
7.24Before January 1 of the year in which a state agency subject to this chapter and its
7.25advisory committees are sunset, the commission shall:
7.26(1) review and take action necessary to verify the reports submitted by the agency;
7.27and
7.28(2) conduct a review of the agency based on the criteria provided in section 3D.10
7.29and prepare a written report.
7.30 Sec. 8. [3D.08] PUBLIC HEARINGS.
8.1Before February 1 of the year a state agency subject to this chapter and its advisory
8.2committees are sunset, the commission shall conduct public hearings concerning but not
8.3limited to the application to the agency of the criteria provided in section 3D.10.
8.4 Sec. 9. [3D.09] COMMISSION REPORT.
8.5By February 1 of each even-numbered year, the commission shall present to the
8.6legislature and the governor a report on the agencies and advisory committees reviewed.
8.7In the report the commission shall include:
8.8(1) its findings regarding the criteria prescribed by section 3D.10;
8.9(2) its recommendations based on the matters prescribed by section 3D.11; and
8.10(3) other information the commission considers necessary for a complete review
8.11of the agency.
8.12 Sec. 10. [3D.10] CRITERIA FOR REVIEW.
8.13The commission and its staff shall consider the following criteria in determining
8.14whether a public need exists for the continuation of a state agency or its advisory
8.15committees or for the performance of the functions of the agency or its advisory
8.16committees:
8.17(1) the efficiency and effectiveness with which the agency or the advisory committee
8.18operates;
8.19(2) an identification of the mission, goals, and objectives intended for the agency or
8.20advisory committee and of the problem or need that the agency or advisory committee
8.21was intended to address and the extent to which the mission, goals, and objectives have
8.22been achieved and the problem or need has been addressed;
8.23(3) an identification of any activities of the agency in addition to those granted by
8.24statute and of the authority for those activities and the extent to which those activities
8.25are needed;
8.26(4) an assessment of authority of the agency relating to fees, inspections,
8.27enforcement, and penalties;
8.28(5) whether less restrictive or alternative methods of performing any function that
8.29the agency performs could adequately protect or provide service to the public;
8.30(6) the extent to which the jurisdiction of the agency and the programs administered
8.31by the agency overlap or duplicate those of other agencies, the extent to which the agency
8.32coordinates with those agencies, and the extent to which the programs administered by the
8.33agency can be consolidated with the programs of other state agencies;
9.1(7) the promptness and effectiveness with which the agency addresses complaints
9.2concerning entities or other persons affected by the agency, including an assessment of the
9.3agency's administrative hearings process;
9.4(8) an assessment of the agency's rulemaking process and the extent to which the
9.5agency has encouraged participation by the public in making its rules and decisions and
9.6the extent to which the public participation has resulted in rules that benefit the public;
9.7(9) the extent to which the agency has complied with federal and state laws and
9.8applicable rules regarding equality of employment opportunity and the rights and privacy
9.9of individuals, and state law and applicable rules of any state agency regarding purchasing
9.10guidelines and programs for historically underutilized businesses;
9.11(10) the extent to which the agency issues and enforces rules relating to potential
9.12conflicts of interest of its employees;
9.13(11) the extent to which the agency complies with chapter 13 and follows records
9.14management practices that enable the agency to respond efficiently to requests for public
9.15information; and
9.16(12) the effect of federal intervention or loss of federal funds if the agency is
9.17abolished.
9.18 Sec. 11. [3D.11] RECOMMENDATIONS.
9.19(a) In its report on a state agency, the commission shall:
9.20(1) make recommendations on the abolition, continuation, or reorganization of each
9.21affected state agency and its advisory committees and on the need for the performance of
9.22the functions of the agency and its advisory committees;
9.23(2) make recommendations on the consolidation, transfer, or reorganization of
9.24programs within state agencies not under review when the programs duplicate functions
9.25performed in agencies under review; and
9.26(3) make recommendations to improve the operations of the agency, its policy body,
9.27and its advisory committees, including management recommendations that do not require
9.28a change in the agency's enabling statute.
9.29(b) The commission shall include the estimated fiscal impact of its recommendations
9.30and may recommend appropriation levels for certain programs to improve the operations
9.31of the state agency.
9.32(c) The commission shall have drafts of legislation prepared to carry out the
9.33commission's recommendations under this section, including legislation necessary
9.34to continue the existence of agencies that would otherwise sunset if the commission
9.35recommends continuation of an agency.
10.1(d) After the legislature acts on the report under section 3D.09, the commission shall
10.2present to the legislative auditor the commission's recommendations that do not require
10.3a statutory change to be put into effect. Subject to the legislative audit commission's
10.4approval, the legislative auditor may examine the recommendations and include as part
10.5of the next audit of the agency a report on whether the agency has implemented the
10.6recommendations and, if so, in what manner.
10.7 Sec. 12. [3D.12] MONITORING OF RECOMMENDATIONS.
10.8During each legislative session, the staff of the commission shall monitor legislation
10.9affecting agencies that have undergone sunset review and shall periodically report
10.10to the members of the commission on proposed changes that would modify prior
10.11recommendations of the commission.
10.12 Sec. 13. [3D.13] REVIEW OF ADVISORY COMMITTEES.
10.13An advisory committee, the primary function of which is to advise a particular state
10.14agency, is subject to sunset on the date set for sunset of the agency unless the advisory
10.15committee is expressly continued by law.
10.16 Sec. 14. [3D.14] CONTINUATION BY LAW.
10.17During the regular session immediately before the sunset of a state agency or an
10.18advisory committee that is subject to this chapter, the legislature may enact legislation
10.19to continue the agency or advisory committee for a period not to exceed 12 years. This
10.20chapter does not prohibit the legislature from:
10.21(1) terminating a state agency or advisory committee subject to this chapter at a date
10.22earlier than that provided in this chapter; or
10.23(2) considering any other legislation relative to a state agency or advisory committee
10.24subject to this chapter.
10.25 Sec. 15. [3D.15] PROCEDURE AFTER TERMINATION.
10.26 Subdivision 1. Termination. Unless otherwise provided by law:
10.27(1) if after sunset review a state agency is abolished, the agency may continue in
10.28existence until June 30 of the following year to conclude its business;
10.29(2) abolishment does not reduce or otherwise limit the powers and authority of the
10.30state agency during the concluding year;
10.31(3) a state agency is terminated and shall cease all activities at the expiration of
10.32the one-year period; and
11.1(4) all rules that have been adopted by the state agency expire at the expiration of
11.2the one-year period.
11.3 Subd. 2. Funds of abolished agency or advisory committee. (a) Any unobligated
11.4and unexpended appropriations of an abolished agency or advisory committee lapse on
11.5June 30 of the year after abolishment.
11.6(b) Except as provided by subdivision 4 or as otherwise provided by law, all money
11.7in a dedicated fund of an abolished state agency or advisory committee on June 30 of the
11.8year after abolishment is transferred to the general fund. The part of the law dedicating
11.9the money to a specific fund of an abolished agency becomes void on June 30 of the year
11.10after abolishment.
11.11 Subd. 3. Property and records of abolished agency or advisory committee.
11.12Unless the governor designates an appropriate state agency as prescribed by subdivision 4,
11.13property and records in the custody of an abolished state agency or advisory committee
11.14on June 30 of the year after abolishment must be transferred to the commissioner of
11.15administration. If the governor designates an appropriate state agency, the property and
11.16records must be transferred to the designated state agency.
11.17 Subd. 4. Continuing obligations. (a) The legislature recognizes the state's
11.18continuing obligation to pay bonded indebtedness and all other obligations, including
11.19lease, contract, and other written obligations, incurred by a state agency or advisory
11.20committee abolished under this chapter, and this chapter does not impair or impede the
11.21payment of bonded indebtedness and all other obligations, including lease, contract, and
11.22other written obligations, in accordance with their terms. If an abolished state agency or
11.23advisory committee has outstanding bonded indebtedness or other outstanding obligations,
11.24including lease, contract, and other written obligations, the bonds and all other obligations,
11.25including lease, contract, and other written obligations, remain valid and enforceable in
11.26accordance with their terms and subject to all applicable terms and conditions of the laws
11.27and proceedings authorizing the bonds and all other obligations, including lease, contract,
11.28and other written obligations.
11.29(b) The governor shall designate an appropriate state agency that shall continue to
11.30carry out all covenants contained in the bonds and in all other obligations, including lease,
11.31contract, and other written obligations, and the proceedings authorizing them, including
11.32the issuance of bonds, and the performance of all other obligations, including lease,
11.33contract, and other written obligations, to complete the construction of projects or the
11.34performance of other obligations, including lease, contract, and other written obligations.
11.35(c) The designated state agency shall provide payment from the sources of payment
11.36of the bonds in accordance with the terms of the bonds and shall provide payment from
12.1the sources of payment of all other obligations, including lease, contract, and other written
12.2obligations, in accordance with their terms, whether from taxes, revenues, or otherwise,
12.3until the bonds and interest on the bonds are paid in full and all other obligations,
12.4including lease, contract, and other written obligations, are performed and paid in full.
12.5If the proceedings so provide, all funds established by laws or proceedings authorizing
12.6the bonds or authorizing other obligations, including lease, contract, and other written
12.7obligations, must remain with the comptroller or the previously designated trustees. If the
12.8proceedings do not provide that the funds remain with the comptroller or the previously
12.9designated trustees, the funds must be transferred to the designated state agency.
12.10 Sec. 16. [3D.16] ASSISTANCE OF AND ACCESS TO STATE AGENCIES.
12.11The commission may request the assistance of state agencies and officers. When
12.12assistance is requested, a state agency or officer shall assist the commission. In carrying
12.13out its functions under this chapter, the commission or its designated staff member may
12.14inspect the records, documents, and files of any state agency.
12.15 Sec. 17. [3D.17] RELOCATION OF EMPLOYEES.
12.16If an employee is displaced because a state agency or its advisory committee is
12.17abolished or reorganized, the state agency shall make a reasonable effort to relocate the
12.18displaced employee.
12.19 Sec. 18. [3D.18] SAVING PROVISION.
12.20Except as otherwise expressly provided, abolition of a state agency does not affect
12.21rights and duties that matured, penalties that were incurred, civil or criminal liabilities that
12.22arose, or proceedings that were begun before the effective date of the abolition.
12.23 Sec. 19. [3D.19] REVIEW OF PROPOSED LEGISLATION CREATING AN
12.24AGENCY.
12.25Each bill filed in a house of the legislature that would create a new state agency or
12.26a new advisory committee to a state agency shall be reviewed by the commission. The
12.27commission shall review the bill to determine if:
12.28(1) the proposed functions of the agency or committee could be administered by one
12.29or more existing state agencies or advisory committees;
12.30(2) the form of regulation, if any, proposed by the bill is the least restrictive form of
12.31regulation that will adequately protect the public;
13.1(3) the bill provides for adequate public input regarding any regulatory function
13.2proposed by the bill; and
13.3(4) the bill provides for adequate protection against conflicts of interest within
13.4the agency or committee.
13.5 Sec. 20. [3D.20] GIFTS AND GRANTS.
13.6The commission may accept gifts, grants, and donations from any organization
13.7described in section 501(c)(3) of the Internal Revenue Code for the purpose of funding
13.8any activity under this chapter. All gifts, grants, and donations must be accepted in an
13.9open meeting by a majority of the voting members of the commission and reported in the
13.10public record of the commission with the name of the donor and purpose of the gift, grant,
13.11or donation. Money received under this section is appropriated to the commission.
13.12 Sec. 21. [3D.21] EXPIRATION.
13.13 Subdivision 1. Group 1. The following agencies are sunset and expire on June
13.1430, 2012: Department of Health, Department of Human Rights, Department of Human
13.15Services, all health-related licensing boards listed in section 214.01, Council on Affairs
13.16of Chicano/Latino People, Council on Black Minnesotans, Council on Asian-Pacific
13.17Minnesotans, Indian Affairs Council, Council on Disabilities, and all advisory groups
13.18associated with these agencies.
13.19 Subd. 2. Group 2. The following agencies are sunset and expire on June 30, 2014:
13.20Department of Education, Board of Teaching, Minnesota Office of Higher Education, and
13.21all advisory groups associated with these agencies.
13.22 Subd. 3. Group 3. The following agencies are sunset and expire on June 30, 2016:
13.23Department of Commerce, Department of Employment and Economic Development,
13.24Department of Labor and Industry, all non-health-related licensing boards listed in
13.25section 214.01 except as otherwise provided in this section, Explore Minnesota Tourism,
13.26Public Utilities Commission, Iron Range Resources and Rehabilitation Board, Bureau of
13.27Mediation Services, Combative Sports Commission, Amateur Sports Commission, and all
13.28advisory groups associated with these agencies.
13.29 Subd. 4. Group 4. The following agencies are sunset and expire on June 30, 2018:
13.30Department of Corrections, Department of Public Safety, Department of Transportation,
13.31Peace Officer Standards and Training Board, Corrections Ombudsman, and all advisory
13.32groups associated with these agencies.
13.33 Subd. 5. Group 5. The following agencies are sunset and expire on June 30, 2020:
13.34Department of Agriculture, Department of Natural Resources, Pollution Control Agency,
14.1Board of Animal Health, Board of Water and Soil Resources, and all advisory groups
14.2associated with these agencies.
14.3 Subd. 6. Group 6. The following agencies are sunset and expire on June 30, 2022:
14.4Department of Administration, Department of Management and Budget, Department of
14.5Military Affairs, Department of Revenue, Department of Veterans Affairs, Arts Board,
14.6Minnesota Zoo, Office of Administrative Hearings, Campaign Finance and Public
14.7Disclosure Board, Capitol Area Architectural and Planning Board, Office of Enterprise
14.8Technology, Minnesota Racing Commission, and all advisory groups associated with
14.9these agencies.
14.10 Subd. 7. Continuation. Following sunset review of an agency, the legislature may
14.11act within the same legislative session in which the sunset report was received on Sunset
14.12Advisory Commission recommendations to continue or reorganize the agency.
14.13 Subd. 8. Other groups. The commission may review, under the criteria in
14.14section 3D.10, and propose to the legislature an expiration date for any agency, board,
14.15commission, or program not listed in this section.
