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HF2846 (Legislative Session 94 (2025-2026))

Attorney general duties and activities funding provided, consumer protection restitution account and related requirements established, consumer litigation account modified, proceeds of litigation or settlement account established, report required, and money appropriated.

Related bill: SF3044

AI Generated Summary

Purpose of the Bill

This bill aims to allocate state funds for the duties and activities of Minnesota's Attorney General. It also seeks to establish new financial accounts for consumer protection and manage money from litigation or settlements to ensure proper distribution and management of funds related to consumer litigation.

Main Provisions

  • Attorney General Appropriations: The bill appropriates specific sums of money from various funds for the years 2026 and 2027 to support the activities of the Attorney General's office.
  • Consumer Protection Restitution Account: A new account is created to hold money intended for compensating consumers harmed by unlawful practices. This involves setting guidelines on the distribution of funds and appointing an administrator to manage the account.
  • Modifications to Existing Accounts: Changes include specific procedures for handling money in the consumer litigation account and establishing a maximum balance for this account.
  • Proceeds of Litigation or Settlement Account: Establishes an account for funds recovered through litigation or settlements, directing how these amounts should be managed and deposited either into this account or the general fund.
  • Annual Reporting Requirements: The Attorney General must report annually on the financial activities related to consumer litigation and restitution accounts, including detailing monetary flows and the adequacy of account balances.

Significant Changes to Existing Law

  • Undistributed Settlement Funds: If settlement funds cannot be reasonably distributed to victims, the money may be redirected to the state's general fund or a specific consumer protection restitution account.
  • Limit on Account Balances: Sets a cap of $2 million on the consumer litigation account, ensuring excess funds are transferred to the general fund annually.
  • Creation of New Accounts: New provisions specify the establishment and use of a consumer protection restitution account and a proceeds of litigation account, enhancing financial oversight of consumer settlements and litigation funds.

Relevant Terms

  • Attorney General
  • Consumer Protection
  • Restitution Account
  • Litigation Proceeds
  • Settlement Accounts
  • Fiscal Appropriations
  • General Fund
  • Financial Reporting

Bill text versions

Actions

DateChamberWhereTypeNameCommittee Name
March 25, 2025HouseFloorActionIntroduction and first reading, referred toState Government Finance and Policy

Citations

 
[
  {
    "analysis": {
      "added": [
        "Allowing undistributed money to be placed in the consumer protection restitution account."
      ],
      "removed": [
        "Direct payment into the general fund without a consumer protection restitution account option."
      ],
      "summary": "This section details amendments made to the allocation of funds recovered under consumer protection laws.",
      "modified": [
        "Adjustment to procedures for redistributing funds not claimed by consumers."
      ]
    },
    "citation": "8.31",
    "subdivision": "subdivision 2c"
  },
  {
    "analysis": {
      "added": [
        "Requirements for detailing fund balances and disbursements in the annual report."
      ],
      "removed": [
        ""
      ],
      "summary": "Amendments to the annual reporting requirements related to the consumer litigation account.",
      "modified": [
        "Clarifies the reporting content and requirements for the attorney general."
      ]
    },
    "citation": "8.315",
    "subdivision": "subdivision 3"
  },
  {
    "analysis": {
      "added": [
        "Procedures for allocating recovered funds to specific accounts."
      ],
      "removed": [
        ""
      ],
      "summary": "Amendments governing the handling of state funds recovered through litigation.",
      "modified": [
        "Defines the processes and limitations for state officials handling litigation proceeds."
      ]
    },
    "citation": "16A.151",
    "subdivision": "subdivision 1"
  }
]

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