The bill amends Minnesota Statutes 2024, section 16C.16, subdivision 2, to provide the commissioner of administration with greater flexibility in determining eligibility for small business preferences in state contracting. The current definition of "small business" is being revised to allow the commissioner to either use the existing federal standard found in the Code of Federal Regulations or adopt a different standard that may better suit the needs of Minnesota businesses.

Specifically, the bill removes the requirement to adhere strictly to the federal size standards and instead allows the commissioner to define a small business as one that has its principal place of business in Minnesota. This change aims to enhance opportunities for local small businesses to participate in state contracting by providing a more adaptable framework for eligibility criteria.

Statutes affected:
Introduction: 16C.16