Purpose of the Bill

The purpose of this bill is to prevent individuals and businesses that are not eligible from receiving state contracts or payments in Minnesota. This includes those who have passed away, are involved in fraudulent activities, or owe money to the state.

Main Provisions

• Creation of a "Do Not Pay" Database: The bill mandates the creation and maintenance of a centralized database known as the "Do Not Pay Database." This database will list individuals and businesses that are barred from receiving state funds.

• Database Management: The database will be managed by the commissioner, with support from the commissioner of information technology services. They are responsible for ensuring the accuracy and update of the database.

• Inclusions in the Database: Individuals or businesses must be added to the database if they meet any of the following criteria:

  • They have passed away.
  • They have been convicted or are suspected of committing fraud against the state.
  • They owe money to the state.

• Agency Contributions: All state agencies are required to provide the necessary names and data to support the maintenance of the database. Agencies must report any cases where individuals or businesses meet the criteria for inclusion.

• Verification Before Transactions: Before entering into a contract or making a payment, agencies are obligated to check the database to confirm that the potential vendor or payment recipient is eligible to receive state funds.

Significant Changes

This bill introduces a new statutory section within Minnesota law, specifically focused on ensuring financial integrity by preventing ineligible or fraudulent entities from obtaining state money. By institutionalizing these checks, the bill seeks to enhance accountability and efficiency in government contracting and payments.

Relevant Terms

do not pay database, state contracts, state payments, ineligible vendors, fraud prevention, state funds, eligibility confirmation, Minnesota state government, financial integrity.