New veterans homes, cybersecurity and making agencies pay for MNLARS in omnibus state gov’t finance bill

Lawmakers got their first look Tuesday at the proposed omnibus state government finance bill, which would include spending $26 million to build three new veterans homes in Greater Minnesota while cutting $9.65 million to state agencies to help cover the cost of fixes needed for MNLARS.

The House State Government Finance Committee worked through a delete-all amendment for HF4016, a bill that, when introduced, would have allowed citizens to donate online to the state’s coffers. Now, it’s a 102-page package that would represent a $7 million reduction in state spending for Fiscal Year 2019.

The committee didn’t take any action on the bill, but it has three meetings scheduled Wednesday – at 10:15 a.m., 1 p.m. and sometime in the evening – set aside for public comment and further possible amendments.

The bill includes provisions that would:

• help cover the cost for three veterans homes in Bemidji, Montevideo and Preston (HF79, Davids; HF1109, Miller);
• require the Legislature, judicial branch and constitutional offices to develop continuity plans so they can keep operating in case of an emergency (HF2809, Grossell);
• put redistricting processes into statute, in the hands of the Legislature (HF314, S. Anderson);
• recreate the makeup of the Metropolitan Council by including elected officials (HF3273, Albright);
• modify the newly created Legislative Budget Office, including hiring (HF3771, Vogel) and transferring responsibilities to it (HF2902, Schomacker);
• require the state auditor’s office to let private CPA firms respond to criticism – something officials believe has hurt accounting professionals (HF3376, Vogel);
• remove the 2-year-old licensing requirement for eyelash extension technicians (HF3850, Flanagan); and
• add oversight to the Minnesota Sports Facilities Authority, a measure that passed the House last year but stalled before session ended (HF778, S. Anderson).

Spending changes

After finding out the state has a projected $329 million surplus, legislators set targets outlining how to allocate those funds. But that number doesn’t include the $58 million balance in what’s called the Vikings Stadium Reserve Account. The omnibus state government finance bill would transfer $30 million of the stadium money to the General Fund to help build the veterans homes, with expected help from the federal government.

The Department of Revenue would see the biggest cut under the bill – a $3.88 million operating reduction – followed by the Human Rights Department, which would see a $1.4 million reduction. The bill would prohibit reductions to the department’s St. Cloud office.

MORE View the spreadsheet

The bill would reduce the Department of Administration’s budget by $1.24 million, which includes a $525,000 plan by Rep. Peggy Scott (R-Andover) to shift data practices complaints to the Office of the Administrative Law Judge (HF2953).

Two measures in the bill would reduce revenue for the Board of Cosmetology Examiners: An estimated $8,000-per-year hit by not collecting fees related to eyelash extensions (HF3850) and a $2,000-per-year revenue reduction by exempting hair braiders from licensing and registration (HF3664, Moran).

Minnesota Management and Budget would receive $4 million to establish a sexual harassment office designed to administer and evaluate workplace surveys, create a third-party reporting system, audit government policies and handle discrimination in executive branch offices. The bill also accounts for a $500,000 savings from limiting MMB’s gainsharing program, which came under fire recently from lawmakers and triggered a special audit.

An emphasis on cybersecurity and MN.IT

Rep. Jim Nash (R-Waconia) introduced a couple of bills centered on cybersecurity and the state’s information technology services agency, MN.IT, that are included in the omnibus proposal. One provision would require state agencies to dedicate 3.5 percent of their budget requests to cybersecurity and another would require MN.IT to find help in the private sector for bigger projects.

Another measure would require MN.IT to include local governments in testing IT projects that affect cities and counties (HF3447, Howe), and another would expand MN.IT’s reach into state boards previously not serviced by the agency.

What else is in the bill?

The following are other selected bills that have been incorporated in part or in whole into the omnibus state government finance bill:

• HF2305 (Garofalo)
• HF2419 (O’Driscoll)
• HF2722 (Loon)
• HF2995 (Anderson, S.)
• HF3044 (Vogel)
• HF3217 (Loonan)
• HF3721 (Anderson, S.)
• HF3806 (Peterson)
• HF4144 (Kiel)
• HF4392 (Jurgens)