Purpose of the Bill

The bill aims to regulate the activities of outgoing officials in local government by restricting their ability to influence new financial obligations after their successors have been elected or appointed.

Main Provisions

• Definition of Outgoing Official: The bill defines an "outgoing official" as someone who continues to serve in their elected or appointed position until their successor has officially taken office.

• Voting Restriction: Outgoing officials are prohibited from voting on the issuance of new municipal debt obligations. This is designed to prevent outgoing officials from making financial decisions that could encumber the municipality before new leadership assumes office.

Significant Changes to Existing Law

• New Subdivisions: The bill adds new subdivisions to Minnesota Statutes sections 475.51 and 475.52 to establish and enforce these restrictions.

• Exception Clause: There is an exception to the voting prohibition if the new debt issuance is subject to approval by a majority of the municipality's voters, as outlined in a different section of the law (section 475.58).

Relevant Terms

• Outgoing official
• Municipal debt obligation
• Local government
• Governing body
• Elector approval